For couples and single parents with a net income of up to $100,000, there will be a tax-free payment of $1,000 — and a proportional payment for net incomes of $100,000 – $145,000. The $58 million fund is the largest financial aid package in the province’s history, according to the premier. More than 117,000 inhabitants of the island will benefit. “I’ve always said that putting money in the pockets of islanders is never a bad thing. They spend it locally and it cycles throughout the economy and we’ve certainly seen that,” King said. The money is in addition to the $250 and $500 payments administered through the Red Cross. However, the new payment will be issued through Canada Revenue Agency. You don’t need to register, but Islanders must have filed their 2021 tax return with the CRA. Those not enrolled in direct deposit will receive their check in the mail.
Overperformance of budget forecasts
King said the province has exceeded its budget projections and is able to return money to islanders without raising taxes. He said the money was intended to help islanders deal with rising inflation and costs associated with post-tropical storm Fiona. “There has never been a time when Islanders need support more than now. We are grateful to be in a positive financial position to make these investments.” More financial relief announcements are expected in the coming days for welfare clients, as well as expanded home heating programs, King said.
