Saskatchewan has a newly elected majority government. Reviewing the election platform may provide some insight on what tax changes may be coming in the near future.
During the election, the governing party promised to temporarily reduce the province's small business income tax rate; to introduce a new home renovation tax credit; and to restart the “active families benefit.” The government has not yet introduced any of these promised measures.
Small business income tax rate reduction
The government’s election platform proposed to temporarily reduce the province's small business income tax rate for the next three years, according to the following schedule:
New home renovation tax credit
The election platform also proposed to introduce a new home renovation tax credit to allow homeowners to claim a 10.5% non-refundable tax credit on up to $20,000* of eligible home renovation expenses on their primary residence incurred between 1 October 2020 and 31 December 2022.
Benefit for “active families”
Another measure in the election platform would reinstitute the “active families benefit”—an income-tested refundable tax credit providing up to $150 annually per minor child to eligible families who pay fees to register children and youth in eligible sports, recreational, and cultural activities.
Read a November 2020 report prepared by the KPMG member firm in Canada
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