FOI Confirms High Income Benefits

In response to a Freedom of Information request, the Ministry of Finance produced a table that confirms what I reported here on February 23rd, that those making over $100,000 will get 20.7% of the benefits from the 2008 tax cut. According to the table from the Ministry of Finance those with incomes over $100,000 will receive 20% of the tax benefits from the tax cut, at an annual cost of $105 million.

The Ministry's table indicates that 6% of taxpayers have incomes over $100,000. since 1 million file but do not pay taxes, that figure is reduced to 3.3% when it is expressed as a percentage of those who file income tax returns. The Ministry of Finance's table relies on statistics from the 2004 returns, data that is available to anyone.

Recall that the February 2007 budget was described by Finance Minister Carole Taylor as a "housing" budget. The 121,730 people who paid tax on more than 100,000 in income appear to be getting the most housing support from the Campbell government. To put it in perspective, on April 3rd the Campbell government announced that it was spending $80 million to purchase 15 buildings in Vancouver, Victoria and Burnaby to protect affordable housing. That is $25 million less than is being spent on tax cuts for those with incomes over $100,000, and the single room occupancy hotel purchase is a one shot deal while the $105 million in high income tax cuts go on year after year after year forever. It's good when a few crumbs fall off the table for the poor, but the Campbell government always seems to find a way to give more to those at the top.