Premier and Finance Minister Sandy Silver tabled a surplus budget today in the Legislative Assembly that cuts taxes and invests in communities.
With a $4.1 million surplus, the 2020–21 Budget includes major funding for community infrastructure, housing, health and education.
Building a prosperous Yukon continues to be a priority with a cut to the small business tax rate from two per cent to zero as well as an expansion of the Business Investment Tax Credit to better support Yukon businesses. Cutting the small business tax rate would save Yukon businesses $2 million per year.
Proposed changes to the Yukon Basic Personal Amount under the Income Tax Act geared towards low and middle-income earners will also result in Yukoners saving around $2.4 million in taxes per year – up to $9.6 million total – by 2023.
Investments in community recreation facilities throughout the territory will support healthy, active living for Yukoners. Highlights include money for the completion of the new Carmacks arena, upgrades to the arena in Mayo, new pools in Pelly Crossing and Ross River, and completion of the state-of-the-art track and field facilities at F.H. Collins Secondary School.
Education highlights include funding to complete construction of the new French first language high school as well as planning for new schools in Whistle Bend and Burwash Landing. Major investments in Yukon’s health care system will support implementation of 1Health, a modern, integrated health information system for Yukon’s hospitals and health facilities. Permanent funding for Yukon’s new expanded orthopedic surgery program is also included in the budget to improve access to care for Yukoners and reduce the need for medical travel.
Significant investments across Yukon’s housing spectrum include funding for a major mixed-use housing project in downtown Whitehorse as well as multi-unit housing projects in Old Crow and Carcross. Approximately $27 million is included to develop residential lots in Yukon communities, including Whitehorse. An additional $30 million is allotted for retrofits to help Yukoners and Yukon businesses make their homes and facilities more energy efficient.
A Five-Year Capital Plan along with the Fiscal and Economic Outlook for Yukon accompany the 2020–21 Budget. The Capital Plan supports First Nations, municipalities, and the private sector to coordinate and plan to meet the needs of Yukoners in all communities. The Fiscal and Economic Outlook shows a territory experiencing the benefits of a strong, growing and diversified economy.
Our government has been working hard to put Yukon’s finances on a sustainable path and create an environment for Yukon’s people and economy to thrive. Returning to a surplus reflects our commitment to sound fiscal management and making responsible financial decisions for the benefit of all Yukoners. This budget builds on our recent progress and once again puts Yukoners first.
Premier and Minister of Finance Sandy Silver
Yukon’s total budget for 2020–21 is $1.62 billion. Operating and maintenance expenses will be $1.25 billion. Capital spending is almost $370 million.
The 2020–21 Main Estimates show an annual surplus of approximately $4.1 million.
The Government of Yukon will also table an Interim Supply Bill worth $338 million. The Bill will fund operations and maintenance spending for the first two months of the 2020–21 fiscal year while the full year of spending authority is debated in the legislature. Of that amount, $271 million is for operations and maintenance spending and $67 million is for capital expenditures.
The Government of Yukon will also table a Second Supplementary Estimates for the 2019–20 fiscal year with an additional $19 million in spending and a revised deficit of $18.5 million.