Starting April 1, a few things in B.C. are going to cost residents more.
Hydro rates are increasing just over two per cent.
Ferry fares are increasing by 3.2 per cent.
The excise tax on alcohol is going up two per cent.
In an effort to tackle climate change, the price of gas in B.C. will increase another three cents per litre on Monday.
The B.C. government says to offset that, about 65 per cent of British Columbians will qualify for a tax credit, but that means roughly 35 per cent will not.
The amount received will depend on your household’s net income and the size of your family.
A single person taking home less than $39,000 will get the maximum credit of $447 a year.
Payments are reduced for a single person until around $61,000 when the credit becomes zero.
For couples and parents, the household net income threshold is roughly $50,000 for a full tax credit per family member.
Regarding the two per cent tax increase on alcohol, the Canadian Taxpayers Federation says it should be eliminated altogether.
“This tax shouldn’t be there in the first place,” Carson Binda, B.C. director of the CTF, told Global News on Friday.
The tax rate was originally tied to inflation, and this year’s increase was going to be 4.7 per cent. However, earlier this month, Finance Minister Chrystia Freeland reduced it to two per cent for the next two years.
“It’s a good move that the government has capped it at two per cent as opposed to almost five per cent that they were initially proposing. But it’s like being slapped in the face twice as opposed to being slapped in the face five times.
“No slaps in the face is obviously preferable. No tax hikes is the right move here.”
Binda continued, saying “breweries, wineries, distilleries, cideries, those are important industries in British Columbia, especially in the Okanagan.
“Wineries in B.C. employ more than 12,000 people in every single region of the province and they account for $3.75 billion in revenue in B.C.
“These are important industries and we shouldn’t be slapping more and more taxes on them every single year.”
However, beginning April 1, while electricity bills will increase by 2.3 per cent, the B.C. Electricity Affordability Credit will also apply.
The credit will vary based on a customer’s annual electricity consumption from the last 12 months. On average, residential households will see a total credit of about $100, according to BC Hydro. Commercial businesses and industrial customers will see a credit of 4.6 per cent – or an average of $400 or $200,000, respectively – to help reduce rising operating costs.
Credits will be applied to eligible customers’ bills in equal installments for one year starting mid-April.
The credit is applied automatically and customers do not have to sign up for it.