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Government introduces bill to allow tax hike

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The Selinger government wasted no time in introducing legislation to change a 1995 law requiring a referendum when making a major tax increase.

The NDP tabled the Manitoba Building and Renewal Funding and Fiscal Management Act this afternoon, 24 hours after it said it needs the law-change so it could increase the provincial sales tax by one percentage point to eight per cent.

The tax hike is to take effect July 1.

The proposed bill calls on the province to report annually its infrastructure funding for the year, including what it gathers from fuel-tax revenue and 25 per cent of PST revenue.

It also calls on government to report annually its infrastructure spending on roads and assistance for municipalities.

The opposition Progressive Conservatives say the NDP promised it wouldn’t raise taxes during the 2011 election campaign.

"The SpeNDP (sic) lied to Manitobans about its pledge not to raise taxes, " PC Leader Brian Pallister said in a written statement. "The SpeNDP cheated Manitobans out of a half billion dollars in taxes and fees every year going forward. "

Pallister said he would reverse the PST increase if given a mandate in 2015.

 

 

 

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