Regina – Working or going to a professional football game this fall could cost more with new taxes proposed in Saskatchewan’s budget.
Starting in October, the province plans to add a six percent provincial sales tax to admission fees and entertainment, including Saskatchewan Roughriders CFL games, other sporting events, concerts, museums, rodeos and gyms.
Smokers are also facing increased taxes from Thursday. That would be another two cents per smoke, for a total increase of 40 cents for a 20-pack. The tax on open tobacco will increase by eight cents per gram.
Property taxes are also going to go up a bit.
These tax increases are expected to come in more than $33 million annually, primarily to address Saskatchewan’s surgery backlog and bed capacity worsened by the COVID-19 pandemic.
Finance Minister Donna Harpoer’s budget on Wednesday projected a $463 million deficit for the 2022-23 fiscal year — more than the $2 billion expected to be a record shortfall in last fall’s fiscal update.
This includes $17.6 billion in spending on revenue of $17 billion, an increase of $531 million.
The Saskatchewan Party government will continue to run the deficit over the next three years, with the goal of balancing the budget in 2026–27.
“This budget makes significant investments that will get critical government services back on track,” Harpoer said in a statement.
Current projects include $3.2 billion in spending: urgent care centers, hospitals, schools and highways.
“Our finances will continue to improve and we are on a balance path (by 2026-27) as a result of careful spending management and prudent revenue forecasts.”
She said increased revenues from oil and potash due to tensions between Russia and Ukraine have led largely to a lack of supply and high demand for those products.
The health care sector is to receive the biggest boost in funding. The government plans to spend $6.8 billion, which is about 40 percent of its total expenditure. Some of that will be for additional surgeries and increasing intensive care capacity, which was at times overwhelmed by the waves of the pandemic.
The province also plans to create an agency to recruit doctors, nurses and other health care professionals to provide funding to retain them.
The budget raises $8 million in funding for mental health and addictions.
More than $47 million has been added to the education budget for a total of $3.8 billion for pay increases for teachers, additional tuition assistance for students, and 200 new educational assistants. It is also meant to fund more than 6,000 new child-care spaces.
Seniors, those living on Social Assistance or in shelters will see a monthly increase in benefits of up to $30.
The police initiative is to receive $91 million more, largely to strengthen the province’s peace officers under a Protective Services branch.
The debt is expected to increase to $30 billion. Part of this includes borrowing from the government to help build schools and hospitals.
This report by The Canadian Press was first published on March 23, 2022.
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