Federal Finance Minister Jim Flaherty tabled the 2012 Federal Budget on March 29, 2012. Eliminating the deficit by 2015 is a key goal and the government plans to do this by cutting spending by $1.4 billion in 2012/13 and by $3.9 billion in 2013/14 for a total of $5.3 billion. With unemployment steady at 7.5% and record household debt, property buyers and owners were looking for any glimmer of good news. The government did offer some hope.
• $205 million to extend the Hiring Credit for Small Business program to encourage hiring. A small-business employer can receive credit of up to $1,000 to help offset employment insurance premiums.
• $165 million over 2 years for responsible resource development which creates jobs and protects the environment.
• $150 million over two years on the Community Infrastructure Improvement Fund for repairs and improvements to community facilities.$99.2 million over three years to help provinces develop permanent flood mitigation measures.
• $67 million through the National Research Council on business-led, industry-relevant research.
• $60 million over two years to protect wildlife at risk.
• $35.7 million over two years for inspections and emergency preparedness to improve oil tanker safety.
Spending on innovation
• $500 million over five years, (to begin in 2014) to the Canada Foundation to support innovation in advanced research infrastructure.
• $105 million over two years to support forestry innovation and market development.
• $100 million to the Business Development Bank of Canada to support its venture capital activities.
• $37 million annually to granting councils to enhance support for industry-academic research partnerships.
Cutting red tape
• Streamline the multiple-step regulatory process to a single-step review known as “one project, one review.” This will include amending the Canadian Environmental Protection Act.
• Streamline the process for approving major economic projects.
• Introduce a legislative amendment clarifying the prohibition against banks selling life insurance.
There will be no new personal or corporate taxes or tax increases.
Excerpt from April 20, 2012 Realtor Link Article