Visit our mobile site

The Globe and Mail

Jump to main navigation
Jump to main content

News Search
Search Stock Quotes
Search The Web
Search People at canada411.ca
Search Businesses at yellowpages.ca
Search Jobs at eluta.ca

Highlights of the 2007 federal budget

OTTAWA— Globe and Mail Update

Highlights of the federal budget:

— New child tax credit worth $310 per child for most families.

— Working Income Tax Benefit of up to $1,000 a year for low-income families, or $500 for individuals, to help get them off welfare.

— $1.5 billion for projects to cut air pollution and greenhouse gas emissions.

— Rebate of up to $2,000 for buying fuel-efficient vehicles; Green levy penalizing auto manufacturers up to $4,000 on inefficient vehicles.

— Billions in extra funding to the provinces (through equalization and other programs) for health, infrastructure, post-secondary education and other items to address the so-called fiscal imbalance.

— Tax Back Guarantee directs $1 billion a year in debt interest savings to personal income tax reductions.

— Eliminates the $4,000 RESP annual contribution limit, with a $50,000 lifetime cap.

— Raises to age 71 from 69 the age at which seniors must convert RRSPs to retirement income.

— Government spending projected to increase by $10 billion to $233 billion in 2007-2008, with program costs jumping by 5.7 per cent.

— Total revenue projected at $236.7 billion in 2007-2008, leaving a surplus of $3.3 billion with $3 billion of that going to debt reduction.

— Economic growth forecast to be 2.3 per cent in 2007 and 2.9 per cent in 2008.