By Canadian Press

Gym-goers, sports fans, smokers face more taxes in Saskatchewan budget

Mar 23, 2022 | 2:28 PM

REGINA — Working out or going to a professional football game could cost more this fall with proposed new taxes outlined in Saskatchewan’s budget.

Starting in October, the province plans to add the six per cent provincial sales tax to admissions fees and entertainment, including Saskatchewan Roughriders CFL games, other sporting events, concerts, museums, rodeos and gyms.

Smokers also face increasing taxes starting Thursday. There will be another two cents per smoke for a total increase of 40 cents for a 20-pack. Taxes on loose tobacco will rise by eight cents per gram.

Property taxes are also to go up slightly.

These tax increases are expected to bring in more than $33 million annually to mainly address Saskatchewan’s backlog of surgeries and bed capacity worsened by the COVID-19 pandemic.

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Finance Minister Donna Harpauer’s budget tabled Wednesday projects a $463-million deficit for the 2022-23 fiscal year — more than $2 billion less than what was expected in last fall’s fiscal update to be a record shortfall.

It includes $17.6 billion in spending, an increase of $531 million, on revenue of $17 billion.

The Saskatchewan Party government will continue to run deficits over the next three years with a goal to balance the budget in 2026-27.

“This budget makes significant investments that will get important government services back on track as we come out of the pandemic,” Harpauer said in a statement.

Spending includes $3.2 billion in existing projects: urgent-care centres, hospitals, schools and highways. 

“Our finances will steadily improve and we are on track to balance (by 2026-27) as a result of careful management of spending and prudent revenue forecasts.”

She said that’s largely due to increased revenue from oil and potash due to tensions between Russia and Ukraine that have caused supply constraints and higher demand for those products. 

The health-care sector is to get the biggest boost in funding. The government plans to spend $6.8 billion — almost 40 per cent of its total expenditures. Some of that will be on additional surgeries and to increase intensive care capacity, which at times was overwhelmed by waves of the pandemic.

The province also plans to create an agency to recruit doctors, nurses and other health-care professionals while providing money to retain them. 

The budget boosts funding to mental health and addictions by $8 million.

More than $47 million has been added to the education budget for a total of $3.8 billion to pay increases for teachers, additional learning supports for students and 200 new educational assistants. It is also to fund over 6,000 new child-care spaces.

Seniors, people on social assistance or living in shelters are to see a monthly rise in benefits of up to $30. 

Policing initiatives are to receive $91 million more, largely to consolidate the province’s peace officers under one protective services branch.  

The debt is projected to grow to $30 billion. Part of that includes the government borrowing money to help build schools and hospitals. 

This report by The Canadian Press was first published March 23, 2022. 

The Canadian Press