Politics
Manitoba NDP implement biggest tax hike in 25 years

Manitoba Premier Greg Selinger speaks to the media in Edmonton, Alberta on May 29, 2012.

Credits: PERRY MAH/EDMONTON SUN/QMI AGENCY

QMI AGENCY

The biggest tax increase in 25 years is official, after the NDP passed its budget implementation bill Tuesday.

The biggest increases - namely charging provincial sales tax on items such as home insurance and services like haircuts and manicures - will come into effect July 1.

There will also be a $35 increase in vehicle registration fees.

The NDP's $182-million tax-hike budget, announced April 17, is the largest overall provincial tax increase since 1987. With an additional $83 million in higher user fees and other charges, including higher fees for things like birth certificates and child abuse registry checks, the budget offers a $265-million increase in taxes and fees for 2012.

Capital investment in highways will drop by nearly $16 million.

The first tax hike to kick in was 2.5 cents per cigarette effective April 17.

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