Newfoundland and Labrador Alters July 1 Tax Hike Threshold and Rates

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By Jared Mondschein

June 3—The threshold for a new income tax levy scheduled to become effective July 1 will increase to C$50,000 ($38,577) from C$20,000 ($15,430) while the rates will change across all brackets from the previously announced amounts, according to a May 25 news release by the Newfoundland and Labrador government.

Tax amounts under the new levy, officially known as the Temporary Deficit Reduction Levy, are to range from C$100 ($77) for individuals making more than C$50,000 but not more than C$55,000 ($42,435) to C$1,800 ($1,388) for individuals making more than C$600,000 ($468,927).

Levy amounts previously announced in the April 14 provincial budget ranged from C$300 ($231) for individuals making more than C$20,000 but not more than C$25,000 ($19,288) to C$900 ($694) for individuals making more than C$202,500 ($156,237).

To contact the reporter on this story: Jared Mondschein at

To contact the editor responsible for this story: Michael Baer at .

For More Information

The May 25 statement by the Newfoundland and Labrador government is available at

The Canadian Revenue Agency's updated payroll deduction formulas for Newfoundland and Labrador are available at

The April 15 budget documents are available at

More information on payroll issues in the Canada can be found in the Canada country primer.