Manitoba: 2020 Budget
Manitoba’s 2020 Budget: Moving Manitoba Forward was presented on March 19, 2020 by Finance Minister Scott Fielding. Budget 2020 was initially scheduled to be presented on March 11, 2020, before the first case of the COVID-19 virus was reported in Manitoba. To address financial uncertainty concerning the pandemic, Budget 2020 was updated to include a COVID-19 Emergency Supplement, which noted that Manitoba has nearly $1 billion of financial flexibility to address the situation, including an $872 million rainy day fund. However, in a March 26th news conference, Premier Brian Pallister admitted that this would not be sufficient and that the RST reduction and Green Levy announced in Budget 2020 would be postponed until at least next year.
The Budget announced numerous new tax measures, including:
- enhancements to the Film and Video Production Tax Credit;
- enhancements to the Child Care Centre Development Tax Credit;
- extending the Mineral Exploration Tax Credit to December 31, 2023;
- extending the Cultural Industries Printing Tax Credit to December 31, 2021;
- extending the Community Enterprise Development Tax Credit to December 31, 2021;
- requiring that the Primary Caregiver Tax Credit be renewed every three years;
- making the Manufacturing Investment Tax Credit permanent and reducing the refundable portion of the credit from 7% to 6%
- increasing the thresholds for the Health and Post-Secondary Education Tax Levy;
- eliminating all probate fees for applications made on or after July 1, 2020;
- increasing tobacco tax rates;
- a flat $25-per-tonne Green Levy that was originally announced on March 5, 2020 to replace the federal backstop carbon tax; and
- various reductions to Retail Sales Tax rates.