Okotoks’ volunteer firefighters will get a little more help at tax time with the proposed federal budget.
The Conservative government included a tax credit for volunteer firefighters in the budget, which was brought forward June 6.
Okotoks deputy fire chief Jim Smith said it won’t amount to much in tax savings, but it’s a good way to recognize the work of volunteer firefighters.
“Anything the government gives is good for the volunteers because they’re committing so much time and effort and getting a little bit back,” he said.
Under the proposal, volunteers firefighters will be able to claim a 15 per cent non-refundable tax credit on $3,000. Volunteers must have worked for at least 200 hours in a year to qualify.
Smith said the credit will be more valuable for volunteers with larger departments such as Okotoks. He said the Okotoks fire department receives more calls in a year than departments in smaller communities. As a result, he said it would be easier for a volunteer in Okotoks to work the 200 hours required for the tax credit.
“It will be the smaller departments, such as the Blackie’s or Cayley’s, (where) it could be a little more difficult to reach those numbers,” she said.
Macleod MP Ted Menzies said there has to be a minimum limit set for the number of hours served and the Association of Volunteer Firefighters recommended the 200-hour minimum.
Menzies, who is also the Minister of State for Finance, said the volunteer firefighter tax credit was well received across the country when it was first proposed in March.
There are few surprises in the proposed budget announced June 6, which is similar to the one proposed by the federal government in March, but was scuttled by the election.
The Conservative government has called the budget a low tax plan to help the economy grow and build employment.
The deficit is projected to be $32.2 billion for this fiscal year, $19.4 billion next year, a $9.4 billion deficit is estimated in 2013, with a small $300,000 deficit in 2014. The government has projected a $4.2 billion surplus in 2015.
However, Menzies said the Conservative government will follow through with an election promise to balance the books by 2014.
He said this can be achieved because the government is currently projecting a $300,000 deficit in 2014.
“It’s very doable, but it’s not going to be easy,” he said. “We have to get very serious.”
He said the government is starting to review strategic and operating expenses to find areas to identify financial savings.
“The operations of all departments are going to be scrutinized very, very closely,” he said.
He said the budget follows through with other promises made by the party during the election campaign, such as eliminating the $2 per vote subsidy to political parties and $2.2 billion to conclude an agreement between Canada and Quebec on the harmonization of sales taxes.
Other initiatives in the budget include enhancing the Guaranteed Income Supplement (GIS) for seniors with an additional $600 annually for single seniors and $840 for couples. The government is also continuing with a plan to forgive federal student loan debts for doctors who locate in rural communities. New family physicians could have as much as $40,000 in debt forgiven and nurses and nurse practitioners could have up to $20,000 in debt forgiven.
The government is also introducing a new Family Caregiver Tax Credit of 15 per cent on an amount of $2,000 for people who take care of infirm or dependent loved ones, including spouses, common-law partners and minor children.
The budget also expands the child sports and recreation tax credit to cover arts programs. Parents of children enrolled in arts and cultural programs will be able to take advantage of a 15-per-cent tax credit on up to $500 of eligible expenses.
