Manitobans weigh in on tax cuts, health care spending in election-year budget
Manitoba is increasing the basic personal amount to give people a break on their taxes
A tax cut in this year's provincial budget is being welcomed by some Manitobans even as they question the motivation behind the move to raise the basic personal amount in an election year.
On Tuesday, Manitoba's Progressive Conservative government revealed it will forgo $311 million in tax revenues in 2023 to increase the exemption from $10,145 to $15,000 to lower income tax bills for most earners by an average of $448 per year.
"Given the high cost of living it helps out very much with food. Food has gone up, gas has gone up," said Lisa Gravelines, who works in payroll. "I take the bus."
Elected officials said the tax break is to help people deal with rising prices. Gravelines, who said she recommended such a move to the government in pre-budget consultations, is happy they listened but she questions why they didn't do it sooner.
"They made the change because it's an election year," Gravelines said. "They had how many years before an election to do that? So, they're trying to get re-elected."
Premier Heather Stefanson told CBC in a live interview Tuesday night the tax break is meant to help Manitobans, not get votes.
WATCH | Premier fields questions about budget:
"We've heard loud and clear from them that they've had difficulties making ends meet over the course of the last little while so they're looking for some tax relief," Stefanson said.
The move will also mean an additional 47,400 Manitobans will be exempt from paying income taxes at all.
Alex Polsky sees the change as a good first step but not one that will win over his support in an election year.
"As far as my vote goes it's not going to have an impact," Polsky said. "I gotta look at what each group is going to do and not just kind of see the money and look at the dollar signs solely."
Increasing the basic personal exemption isn't the only change the PCs are making. They're vowing to raise all tax brackets in 2024 if they're re-elected, which will lower the tax burden on Manitobans even more.
Fixing health care
Kat Polischuk, who's a graphic designer, said the savings won't earn the government her support because she's more concerned about fixing health care.
"There's nurses with a lot of seniority that are working crazy overtime and they would like to work less," Polischuk said.
The government is spending an additional $469 million on health in 2023 and $10 million more to address the surgical and diagnostic backlog.
Part of the increase in health care spending is $120 million for the Manitoba Pharmacare Program which includes extending coverage for insulin pumps for eligible people living with Type 1 and Type 2 diabetes.
"It brings us to being among the most generous across the country when it comes to helping those who are suffering from diabetes in our province," Stefanson said. "This not only is for those suffering from Type 1 diabetes but also getting in to those who are eligible in Type 2 diabetes so it's something that's somewhat unique across the country in terms of what we are doing for those individuals."
The pumps, which deliver insulin to people at a steady rate through a fine needle, are an alternative to multiple injections.
Brian Mackenzie, who's a Type 1 diabetic, said he's been fighting for the last two years, trying to get coverage for people 25 and over.
"Type 1 diabetes doesn't end at 25," Mackenzie said. "The government had previously provided coverage for people up to the age of 25."
Mackenzie, who previously filed a human rights complaint on the issue over age discrimination, said he's feeling cautiously optimistic about an expansion in coverage.
"They're covering sensors for monitoring blood glucose and they're covering insulin pumps which can be a life changer for somebody with Type 1," Mackenzie said. "Quite frankly I'm not going to drop my human rights complaint until I'm satisfied that this thing is really and truly going to happen."
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