Ottawa, December 16, 2011

Archived - Harper Government Welcomes Royal Assent of the Keeping Canada’s Economy & Jobs Growing Act

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The Honourable Jim Flaherty, Minister of Finance, today welcomed the Royal Assent of the Keeping Canada’s Economy & Jobs Growing Act. The legislation includes key elements of the Next Phase of Canada’s Economic Action Plan—A Low-Tax Plan for Jobs and Growth.

“As Canadians prepare for the holiday season, they can be assured our Government remains focused on what matters to them—creating jobs and promoting economic growth,” said Minister Flaherty. “The measures in this Act will help support the strongest job growth in the G-7, with nearly 600,000 net new jobs created since July 2009. And as we prepare next year’s budget, we are listening closely, consulting with Canadians across the country to better prepare the next steps to secure our future prosperity in these difficult economic times.”

The Keeping Canada’s Economy & Jobs Growing Act helps support Canada’s economic recovery by, for example:

Promoting Job Creation & Economic Growth

  • Providing a temporary Hiring Credit for Small Business to encourage additional hiring
  • Expanding tax support for clean energy generation to encourage green investments
  • Extending the Mineral Exploration Tax Credit for flow-through share investors by one year to support Canada’s mining sector
  • Simplifying customs tariffs in order to facilitate trade and lower the administrative burden for businesses
  • Extending the accelerated capital cost allowance treatment for investments in manufacturing and processing machinery and equipment for two years to support the manufacturing and processing sector
  • Eliminating the mandatory retirement age for federally regulated employees in order to give older workers wishing to work the option of remaining in the workforce

Supporting Communities

  • Legislating permanent annual funding of $2 billion for the Gas Tax Fund to provide predictable, long-term infrastructure support to municipalities
  • Enhancing the Wage Earner Protection Program to cover more workers affected by employer bankruptcy or receivership
  • Introducing a Volunteer Firefighters Tax Credit for volunteer firefighters
  • Increasing the integrity of the charitable sector to provide more confidence by introducing a package of integrity measures designed to help combat fraud and other forms of abuse

Helping Families

  • Introducing a new Family Caregiver Tax Credit to assist caregivers of all types of infirm dependent relatives
  • Removing the limit on the amount of eligible expenses caregivers can claim under the Medical Expense Tax Credit in respect of financially dependent relatives
  • Introducing a new Children’s Arts Tax Credit for programs associated with children’s artistic, cultural, recreational and developmental activities

Investing in Education and Training

  • Forgiving loans for new doctors and nurses in under-served rural and remote areas
  • Helping apprentices in the skilled trades and workers in regulated professions by making occupational, trade and professional examination fees eligible for the Tuition Tax Credit
  • Improving federal financial assistance for students
  • Making it easier to allocate Registered Education Savings Plan assets among siblings, without incurring tax penalties or forfeiting Canada Education Savings Grants

Respecting Taxpayers

  • Phasing out the direct subsidy of political parties
  • Closing numerous tax loopholes that allow a few businesses and individuals to avoid paying their fair share of tax

For further information, media may contact:

Mary Ann Dewey-Plante
Press Secretary
Office of the Minister of Finance

Jack Aubry
Media Relations
Department of Finance

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