Premier Greg Selinger announced the basic Education Property Tax Credit will increase to $700 in 2011 from the current $650, giving Manitobans more tax savings.
“Our government is proud to meet our commitment to hard-working Manitoba families. We want to make life better for Manitobans and this tax credit will help keep our province affordable with benefits to over 293,000 homeowners and 128,000 tenants,” said Selinger.
Homeowners will have the credit subtracted from their property tax bills starting this summer. Residential tenants will receive the increased benefits when they file their 2011 income tax returns.
“Our government has worked very hard to ensure that Manitoba is a great place to set down roots and raise a family. To help those hard-working families grow and succeed, we have increased the Education Property Tax Credit by 180 per cent to $700 from $250 in 1999,” the premier said.
Today’s increased tax credit will now see Manitobans save approximately $16 million in additional tax relief for a total of $151 million in annual property tax credits.
The Manitoba government eliminated the Education Support Levy on residential properties in 2006, further saving residents over $145 million annually.
This year, Manitobans will save more than $329 million in education property taxes than they did in 1999, allowing Manitobans to keep more money in their pockets, said Selinger.
“Our government has been moving Manitoba on the right track through steady and balanced leadership,” said Finance Minister Rosann Wowchuk. “We know these savings make a difference in your wallet and we will continue to work with all Manitobans to ensure that everyone benefits from these important tax credits.”
This year, the government offered the Tax Incentive Grant (TIG) to qualifying school divisions. An unprecedented 27 school divisions accepted the TIG, up from 23 divisions the year before.
“Working co-operatively with school divisions means residents will not see an increase on their tax bills,” said Selinger.
In 2011, the province invested $21.7 million toward the TIG to keep property taxes low throughout the province, he added. In all, 30 divisions are holding the line on mill rates in 2011.
Statistics Canada has identified Manitoba as the only province in the country to see property taxes remain relatively stable since 2000. Manitoba saw only a 1.2 per cent increase overall, while the average Canadian increase was 33.7 per cent.
