Conservative Leader Andrew Scheer responds to a question during a news conference in Montreal on April 19, 2018. The parliamentary budget office released a report this morning saying Bill C-394, which would bring in a tax credit for those on parental leave, would result in foregone revenues of $607.6 million in 2018-19. PAUL CHIASSON / THE CANADIAN PRESS

Proposed Conservative parental tax credit would cost $600M or higher: PBO

Conservative Leader Andrew Scheer’s proposed tax credit for parents would cost the federal government over $600 million dollars in lost revenues in the first year

A new report by the parliamentary budget watchdog says Conservative Leader Andrew Scheer’s proposed tax credit for parents would cost federal coffers more than $600 million in the first year — and possibly even more.

The parliamentary budget office released a report this morning saying if passed, Bill C-394 — which includes a tax credit for those on parental leave — would mean foregone revenues of $607.6 million in 2018-19.

Because not all families would be able to claim the total amount in the first year, an additional $261 million in costs would likely be added in future years.

In its 2018 budget, the Trudeau government announced changes to provide additional weeks of parental leave for families with both parents taking time off to care for a newborn.

The PBO estimates Scheer’s proposed measure would increase the cost of the Liberal government’s benefit by an additional $24.1 million.

Scheer tabled his private member’s bill last month, promoting it as a way to help new parents offset any taxes owing on their maternity and parental leave.

Related: Baloney Meter: Are feds crossing $1-trillion mark on market debt for first time?

Related: Andrew Scheer in the Shuswap

The Canadian Press

Like us on Facebook and follow us on Twitter.

Just Posted

Annie Silver voted new director of Sasquatch Country – Area-C

Silver to take over role of director for Hemlock Valley, Harrison Mills, Lake Errock

Leo Facio re-elected as Harrison’s mayor

Facio joined by three new councillors

Who won and who didn’t in the Lower Mainland votes

A look at the region’s mayoral races, starting with Doug McCallum coming back to win in Surrey

VIDEO: Agassiz, Harrison voters on why they went to the polls

Spoiler alert: Most say voting is a civic duty

‘Violent’ B.C. man wanted on Canada-wide warrant could be in Lower Mainland

RCMP say the man has likely made his way to the Lower Mainland or another community

CFL playoff picture still muddled heading into weekend action

League revealed last week no fewer than 64 potential playoff permutations

New monitoring of vessel noise impact on endangered whales announced

Federal government to monitor underwater ship and mammal noise in B.C.’s Salish Sea

Used election signs could serve as emergency shelters, B.C. candidate says

Langley Township council hopeful wants to build one-person foul weather shelters for homeless

Vancouver cops, four-legged pals pose for police dog calendar

Proceeds go to fighting cancer and helping sick kids

Liberals write off $6.3 billion in loans as part of money never to be collected

That includes student loans and a $2.6 billion write off that came through Export Development Canada

Trudeau, McKenna to announce compensation for federal carbon plan

Provinces that don’t have a carbon price of at least $20 per tonne of emissions will have Ottawa’s plan forced on them

Most Read