1976 Canadian federal budget

1976 (1976) Budget of the Canadian Federal Government

Presented	25 May 1976
Parliament	30th
Party	Liberal
Finance minister	Donald Stovel Macdonald
Total revenue	35.283 billion [1]
Total expenditures	42.180 billion [1]
Deficit	$6.897 billion[1]
‹ 1975 1977›

The Canadian federal budget for fiscal year 1976–77 was presented by Minister of Finance Donald Stovel Macdonald in the House of Commons of Canada on 25 May 1976.[2]

Background

December 1975 Ministerial Statement

On 18 December 1975 Donald Macdonald announced a temporary 10% surtax on taxes above $8,000. The surtax only applied to the 1976 taxation year and was enacted on 24 February 1977.[3][4]

Taxes

Personal income taxes

The budget announced that taxpayers will be able to transfer their RHOSP savings from one plan to another, for instance to select a plan with a better rate of return.[5]

The maximum deduction for RPPs is increased to $3,500.[6] For RRSPs the limit is increased to $5,500 per year.[7]

Maximum deduction for child care expenses is increased to $1,000 by child (from $500) and capped to $4,000 by family (increased from $2,000).[8]

References

1. "Canada's deficits and surpluses, 1963-2014". CBC News. CBC/Radio-Canada. Retrieved 25 April 2015.
2. "The Leader-Post". news.google.com. 26 May 1976. Archived from the original on 2020-06-25. Retrieved 2020-06-17.
3. S.C. 1976-77, ch. 4, s 65.
4. Pepin, Marcel (19 December 1975). "Ottawa : surtaxe temporaire de 10% sur les revenus imposables qui sont supérieurs à $30,000". La Presse (in French). p. A9. Retrieved 3 September 2021.
5. S.C. 1976-77, ch. 4, s 57.
6. S.C. 1976-77, ch. 4, s 1(1).
7. S.C. 1976-77, ch. 4, s 56(4).
8. S.C. 1976-77, ch. 4, s 21(1).

Official documents

Budget documents

• Budget Speech
• Budget Papers
• Budget in Brief

Enacted legislations

• An Act to amend the statute law relating to income tax, S.C. 1976-77, c. 4