OTTAWA—Some of the country’s highest earners could end up benefiting from the Liberals’ newly enacted income tax cut more than those at the lower end of the income scale, the parliamentary spending watchdog says. But the budget office says that isn’t likely to happen based on how the Liberals set up the income-tested tax break. As it stands, a high-income earner could claim a tax credit for a spouse or child who earns little or nothing and benefit from the income tax change, even if they technically earn too much to qualify. The report says Canadian individuals will have $218 in average annual tax savings when the cut is fully implemented in 2023. Casting ahead to 2023, the PBO also projected what federal income tax brackets will look like to determine the tax-effect spinoff.

Source: thestar January 28, 2020 18:33 UTC