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Showing posts from October, 2016

Ontario deficit cut over $5 billion in one year as revenue rolls in -- but who will benefit?

  The government's unaudited financial statements for 2015-16 have been released (in lieu of the Public Accounts) and the deficit is down another $700 million from the last government estimate. Combined with earlier reductions, that means they came in with a deficit $3.5 billion less than they originally budgeted for 2015-16 in the 2015 budget.  Revenue for 2015-16 is up   $4 billion compared with the 2015 Budget forecast and up $2 billion from the 2016-17 Budget estimate for 2015-16.  This is good news.  After years of disappointing increases in revenue, we now have a whopper of a year. Revenue increased $9.8 billion between 2014/15 and 2015/16 - - that is an 8.3% increase. Two billion of this is related to the Hydro sell-off.  But there are big increases in revenue from corporate taxes (up 19%), income taxes (up 6.2%) and sales taxes (up 8.1%). Money is rolling in. Interest on debt is down $400 million compared to the 2015 Budget estimate and down $200 mi