The Yukon government has promised new income tax rates that it says will result in $5.5 million in savings for Yukoners annually.
The amendments, effective January 1, 2015, will eliminate the surtax on taxes payable over $6,000, and reduce rates to all income brackets.
The Yukon Child Tax Benefit will also get a boost, with the maximum annual amount upped to $820 from $690. Households with incomes of up to $35,000 will now be eligible for the maximum benefit amount.
The Yukon Children’s Fitness Tax Credit will change from a non-refundable credit to a refundable credit, meaning that parents will benefit even if their income is too low to pay taxes.
The changes will be tabled in a bill during this coming sitting of the legislative assembly, and are subject to legislative approval.