BILL NO. 244
(as introduced)
1st Session, 64th General Assembly
Nova Scotia
1 Charles III, 2022
Private Member's Bill
Income Tax Act
(amended)
Elizabeth Smith-McCrossin
Cumberland North
First Reading: November 1, 2022
Second Reading:
Third Reading:
Explanatory Note
This Bill amends the Income Tax Act to
(a) index the income brackets for the computation of personal income tax to the Consumer Price Index for Canada; and
(b) requires the Minister of Finance and Treasury Board to review the income tax brackets annually and ensure they are consistent with or higher than those of the other Maritime Provinces.
An Act to Amend Chapter 217
of the Revised Statutes, 1989,
the Income Tax Act,
Respecting Tax Brackets
1 Chapter 217 of the Revised Statutes, 1989, the Income Tax Act, is amended by adding immediately after Section 8A the following Sections:
- 8B (1) Subject to subsection (4), each specified amount in relation to tax payable under this Section 8 for a taxation year shall be adjusted so that the amount to be used for the year under the provision for which the amount is relevant is the total of
(a) the amount that would, but for subsection (3), be the amount to be used under the relevant provision for the preceding taxation year; and
(b) the product obtained by multiplying
- (i) the amount referred to in clause (a),
(ii) the amount, adjusted in such manner as may be prescribed and rounded to the nearest one-thousandth, or, where the result obtained is equidistant from two consecutive one-thousandths, to the higher thereof, that is determined by the formula
A is the Consumer Price Index for the 12-month period that ended on September 30 next before that year, and
B is the Consumer Price Index for the 12-month period immediately preceding the period mentioned in the description of A.
(2) In this Section, the Consumer Price Index for any 12-month period is the result arrived at by
(a) aggregating the Consumer Price Index for Canada, as published by Statistics Canada under the authority of the Statistics Act (Canada), adjusted in such manner as is prescribed, for each month in that period;
(b) dividing the aggregate obtained under clause (a) by 12; and
(c) rounding the result obtained under clause (b) to the nearest one-thousandth or, where the result obtained is equidistant from two consecutive one-thousandths, to the higher thereof.
(3) Where an amount referred to in this Section, when adjusted as provided in this Section, is not a multiple of one dollar, it shall be rounded to the nearest multiple of one dollar or, where it is equidistant from two such consecutive multiples, to the higher thereof.
(4) The money required for the purpose of this Section must be paid out of money appropriated for that purpose by the Legislature.
8C The Minister shall review the amounts specified under Section 8, including any adjustments under Section 8B, annually and introduce legislation to ensure that the amounts specified under each clause of Section 8 are consistent with or higher than those specified by New Brunswick and Prince Edward Island for similar incomes.
This page and its contents published by the Office of the Legislative Counsel, Nova Scotia House of Assembly, and © 2022 Crown in right of Nova Scotia. Created November 1, 2022. Send comments to legc.office@novascotia.ca.
