BC United are wants to eliminate taxes for the province’s lowest-income earners.
In a press conference in front of British Columbia’s legislature, BC United leader Kevin Falcon announced that if elected, a BC United government would eliminate income taxes for residents earning $50,000 or less. The policy comes as the party plummets in the polls ahead of a fall election.
“A BC United government will eliminate provincial income tax on the first $50,000 earned by every British Columbian,” said Falcon.
BC United is pledging to make the first $50,000 in income tax-free by increasing the province’s basic personal exemption from $12,580.
BC United claims that with the change to the province’s tax code, around 60% of British Columbians will not have to pay any income taxes and will save the average person around $2,050. However, those affected will still have to pay federal income taxes.
BC United estimates that the tax cut will cost the provincial government $5.4 billion in revenues. However, the party says that they can offset the loss by increasing economic growth and consumer spending which they say their policies will encourage.
In a comment to True North, a BC United spokesperson said that the party would not only lower taxes but balance the province’s budget within a year in government.
“BC United is committed to balancing the budget within the first term,” said a BC United spokesperson.
“We’ll also limit spending increases to CPI plus population growth, ensuring fiscal responsibility. We expect increased revenues to government due to economic growth, and we are the only party committed to balancing the budget.”
In fiscal year 2024-25, British Columbia’s government is estimated to take in $81.5 billion while spending $89.4 billion in the budget, a $7.9 billion deficit. The provincial debt sits at $71.9 billion.
BC United says that, unlike other tax measures, their policy of increasing the basic personal exemption will make an immediate difference.
“Our policy will make an immediate difference. British Columbians won’t be waiting around for tax season for a rebate or a tax credit.”
Falcon promised that their tax cut would not result in service cuts for the province, but NDP Premier David Eby argues that it will.
“I think he is truly revealing who he is. Which is someone who is even to the right of John Rustad when it comes to cutting public services in service to a particular ideology,” said Eby at a press conference.
The splashy tax announcement comes after BC United have been struggling to retain party supporters and contain the rise of the BC Conservatives, slipping to a distant fourth place in public opinion polls.
In a comment to True North, BC Conservative spokesperson Anthony Koch questioned the legitimacy and authenticity of such an announcement from BC United.
“After lobbying for weeks to remind BCers that they used to be Liberals, BC United are now trying once again to pretend to be Conservatives,” said Koch.
“If you want real tax cuts and common sense policies, vote for the real deal in the Conservative Party of British Columbia, not a deeply unserious 4th place party fighting daily to keep a single seat.”