B.C. budget still in the black, barely

Finance Minister Mike de Jong says job growth isn't where it should be, sales tax collection to be stepped up

Finance Minister Mike de Jong shows changes in budget update

VICTORIA – With half of the fiscal year in the books, the B.C. government is clinging to a small surplus that was promised in this spring’s election.

Finance Minister Mike de Jong presented the province’s second quarter budget update Wednesday, projecting that the fiscal year will end in March with a surplus of $165 million. That’s up $29 million from the September budget update. Corporate tax revenue is higher than expected, making up for personal tax revenue that was $284 million less than forecast.

Part of the decline in personal income tax is due to employment, which de Jong said was disappointingly “flat lined” so far in 2013. He said unemployment has “dropped modestly” and full-time employment has grown, but the province has work to do to meet its jobs plan goal.

NDP finance critic Mike Farnworth said the heavily advertised jobs plan is a flop, and the unemployment rate is down largely because 12,500 people have left B.C. to seek work since the plan was launched two years ago.

“Just look at the job numbers,” Farnworth said. “By their own admission, they’re pathetic.”

Another revenue loss for the B.C. treasury is provincial sales tax revenue, which is running $100 million below the budget forecast for the year. De Jong said one factor in that is that not all businesses have registered to collect and remit the PST since the province cancelled the harmonized sales tax last March.

More than 102,000 businesses have applied to register for the PST, and the finance ministry is continuing to assist businesses with seminars and one-on-one consultations on switching over.

De Jong said finance ministry staff have given businesses time to adjust and comply, but the grace period is ending.

“As we move into 2014, we’re going to expect people to fulfil their obligations and remit PST that they are obliged to, and officials will be pursuing that with the diligence that you would expect,” de Jong said.

 

Just Posted

Agassiz man charged in 2014 snake venom death of toddler

Henry Thomas was taking care of the North Vancouver girl the day before she died

Classical paired with folk for Chilliwack Metropolitan Orchestra’s winter concert

Chilliwack Metropolitan Orchestra presents Tchaikovsky in America at G.W. Graham theatre

Chilliwack prolific offender wanted yet again

B.C.-wide warrant issued for David Allen Geoghegan

One man, two women charged with stolen pickup downtown Chilliwack

None of the three have criminal history in B.C.

Chilliwack-Hope MP says new summer jobs grant application no longer includes ‘values test’

Those with anti-abortion beliefs left out last year because of requirement to respect the Charter

2-for-1: Total lunar eclipse comes with supermoon bonus

On Sunday night, the moon, Earth and sun lined up to create the eclipse, which was visible throughout North and South America

Teen in confrontation with Native American: I didn’t provoke

Nick Sandmann of Covington Catholic High School said he was trying to defuse the situation

VIDEO: 11-year-old violinist practices for Vancouver Symphony Orchestra debut

Cloverdale student Da-Wei Chan will perform Jan. 31, Feb. 28 with the VSO

Speaker brings report on allegations to B.C. legislature committee

Report describes Darryl Plecas’ suspicions about senior staff

Parole granted for drunk driver that killed BC RCMP officer

Kenneth Jacob Fenton will be able to attend alcohol abuse treatment, nearly three years after crash that killed Const. Sarah Beckett

Doug Ford says the Liberals’ carbon tax will plunge Canada into recession

The Ontario premier said there are already warning signs of difficult economic times ahead

Kamala Harris opens U.S. presidential bid in challenge to Trump

The 54-year old portrayed herself as a fighter for justice, decency and equality in a video distributed by her campaign

B.C.’s largest public-sector union wants inquiry into money laundering, drugs

Union officials say Premier John Horgan and Attorney General David Eby have not ruled out the possibility of a public inquiry

RCMP ‘amending’ helicopter training after complaints in Surrey

Cloverdale residents say the Air One chopper was in the air for hours and flying at low altitudes

Most Read