OTTAWA - New Brunswickers are getting a present from the tax man next year but most other Canadians are getting a lump of coal, the Canadian Taxpayers Federation says.
The federation's annual analysis of tax changes shows that the vast majority of Canadians will see little change, some will see their taxes rise and only those in New Brunswick will realize noticeable savings.
"The main tax changes for 2010 involve small payroll increases and the HST (harmonized sales tax) in Ontario and B.C.," says federation director Kevin Gaudet.
"Meanwhile, large deficits and rising debt are putting pressures on governments to raise taxes further."
Most of the tax changes are occurring at the provincial level.
The sole major change coming from the federal government is a previously announced reduction in corporate taxes, which fall to 18 per cent starting on Jan. 1 from 19 per cent.
Residents of Ontario and British Columbia will see some modest changes to their tax brackets and a higher basic personal deduction for income taxes.
But while these will provide modest relief, especially to those in the low income bracket, "middle-class families (will get) slammed by the HST" when it comes into effect on July 1, Gaudet said.
Most Canadians, except New Brunswickers, will see little difference in terms of federal and provincial personal taxes.
The most noticeable change will be a $44 increase in premiums for employment insurance and the Canada Pension Plan on workers making more than $47,200, due to bracket creep.
Residents of New Brunswick, however, will realize tax savings from their provincial government's decision to slice tax brackets across the board.
The federation estimates an individual in New Brunswick making $60,000 a year will save $488, while a family of four with a single earner making $80,000 will save $922.
