The Canadian Taxpayers Federation is slamming the provincial government for what it calls “sneaky tax grabs.”
The federation, in its annual New Year’s Tax Changes Report, lamented the fact that the province does not index its tax brackets to reflect inflation.
“Islanders will be ringing in 2013 by digging deeper into their pockets to pay even more taxes,” said Kevin Lacey, CTF Atlantic Director.
“The worst part is, most Islanders are not even aware that their taxes are going up.”
“The provincial government is getting away with a sneaky tax increase each and every year because they refuse to account for inflation in the taxes we pay,” continued Lacey.
Manitoba and Nova Scotia are the only other provinces that do not index to inflation.
According to the federation (the numbers could not be verified by the Journal Pioneer), an average P.E.I. family with two kids and two working adults, earning a combined $80,000, will pay $92 more in provincial income taxes, $79 more in CPP premiums and $70 more in Employment Insurance contributions.