Personal Taxes

NB introduces laws to scale back personal earnings tax

New Brunswick has introduced amendments to the Income Tax Act to help residents with the rising cost of living.

A release states the basic personal amount is increasing $903 to $11,720 as of the 2022 taxation year, while the low-income tax reduction threshold is increasing $909 to $19,177.

Finance and Treasury Board Minister Ernie Steeves says the changes will provide an estimated $40 million in personal income tax relief, and will benefit around 400,000 taxpayers.

All individuals can claim the basic personal amount, while the low-income tax reduction is designed to offset the New Brunswick tax payable for those with incomes that do not exceed the threshold.

Government says the changes are part of its efforts to redistribute carbon tax revenue.

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