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 speed skater heading to Canada West championships

Mya Onos, 11, is qualified for her first provincials this year, and is now taking on Western Canada

Harrison considers future of memorial bench program

Harrison to keep maintaining bench plaques, council seems to feel new benches could be in the future

BC Ferries has no plans to implement debit for vehicle ticket payments

Debit accepted for foot passengers, on-board purchases for all vessels

See stunning sights and amazing adventures at mountain film fest in Chilliwack

Discover what’s in our own backyard with the Vancouver International Mountain Film Festival tour

The complete history of science in one hour at Chilliwack Cultural Centre

We Now Know is a complete history lesson without the boring stuff

Harrison Hot Springs students bring ‘Twelfth Night’ to life

The adaption of Shakespeare’s classic comedy include songs and phrases from Canada’s east coast

Facebook to overhaul ad targeting to prevent discrimination

The company is also paying about $5 million to cover plaintiffs’ legal fees and other costs

B.C. mosque part of open-house effort launched in wake of New Zealand shootings

The ‘Visit a Mosque’ campaign aims to combat Islamophobia

Teacher reprimanded after incident with Grade 11 student in school gym

Gregory Norman Brock was teaching at a high school in the Maple Ridge-Pitt Meadows School District

‘That’s a load of crap’: Dog poop conspiracy spreads in White Rock

Allegation picked up steam through a Facebook page run by a city councillor

Explosives unit brought in after suspicious boxes left at B.C. RCMP detachment

Nanaimo RCMP issues all clear after packages were found on lawn earlier in the day

Avalanche control tomorrow on Highway 1

Expect closures of up to two hours east of Revelstoke

2019 BUDGET: As deficit grows, feds spend on job retraining, home incentives

Stronger economy last year delivered unexpected revenue bump of an extra $27.8 billion over six years

Newfoundland man caught after posting photo of himself drinking and driving

The 19-year-old took a photo of himself holding a beer bottle and cigarette while at the wheel

Most Read