New tax treat for seniors

But despite rebate, original promise to wipe away taxes still broken 

 

RECORD FILE PHOTO BY AUSTIN GRABISH

Manitoba Finance Minister Greg Dewar announced a new school tax rebate for seniors last Thursday.

By Austin Grabish, The Selkirk Record

The Manitoba government is doubling an education property tax rebate for senior citizens, but won’t wipe out the taxes completely this year as the NDP had originally promised in 2011.

Rookie Finance Minister Greg Dewar made the announcement at a press conference in Winnipeg last Tuesday.

Seniors 65 years or older can now get a school tax rebate of up to $470. The rebate was previously capped at $235.

After announcing the new rebate Dewar was asked about the NDP’s 2011 promise to wipe out the school taxes completely for seniors.

He said the province didn’t have a firm timeline for when it would eliminate the taxes, but just hours after the news conference Dewar recanted his statement, and told the Canadian Press the school taxes will be eliminated.

"We made a commitment to eliminate it and we'll eliminate it by 2016," Dewar told the Canadian Press.

“We’re committed to making things more affordable for the seniors who have worked so hard to help build our province.” 

Last year, the province said it needed until 2016 to eliminate the taxes. It’s been struggling to get the provincial deficit under control.

Opposition leader Brian Pallister said last Thursday’s announcement doesn’t live up to what the NDP promised in 2011.

“The reality is that seniors have been hit very hard with the broken promises the government has inflicted on them,” Pallister said.

“I think it’s sad. I think it’s shady, and I don’t think seniors will be fooled again,” Pallister said.

“Seniors were born not yesterday.”

The province said seniors can apply for the new rebate starting in mid-May. Residents will have until the end of March to apply for the rebate for 2014.

The new rebate is in addition to a basic $700 education property tax credit and the income-tested $400 seniors’ education property tax credit top-up that already exist for homeowners. 

Dewar also released the date he will deliver the 2015-16 budget. He’s making that announcement on April 30.

“Preparation work for the budget is in the final stages, and I can tell all Manitobans that despite the financial pressures caused by major flood damage, we’ll have a budget that will take a balanced approach to providing front-line services,” Dewar said.

 -- First published in the Selkirk Record print edition March 26, 2015 p.11