OTTAWA – The parliamentary budget officer says an adult fitness tax break would cost the government between $15 million and $47 million a year in foregone revenue.
A report from budget office Jean-Denis Frechette says the fitness tax credit could cost a maximum of $268 million over five years
The tax break proposed by the Conservatives in the last federal election would offer a credit of up to $75 for eligible fitness programs.
Frechette’s report says his cost estimate doesn’t include any incremental costs related to administering the programs.
The budget office was asked to assess the impact of the credit by an unidentified MP.
The report says the credit would allow eligible taxpayers to claim a non-refundable tax credit of up to $500 for eligible physical activity program costs against their taxable income at a rate of 15 per cent, or a maximum of $75 deducted from tax payable.
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