Taxation Amendment Act, 2014 Sousa, Hon. Charles Minister of Finance — Bill 26 (41st Parliament, 1st Session)

Bill 26, 41-1

Ontario — Bills

role="main" class="main-container container js-quickedit-main-content" id="main-content">

Bill 26, Taxation Amendment Act, 2014

Sousa, Hon. Charles Minister of Finance

Please select

View bill

Status

Debates

Acts affected

Royal Assent

[41] Bill 26 Royal Assent (PDF)

Bill 26 2014

Act to amend the Taxation Act, 2007

Her

Majesty, by and with the advice and consent of the Legislative Assembly of the

Province of Ontario, enacts as follows:

(1) The

definition of "middle tax rate" in subsection 3 (1) of the Taxation Act, 2007 is repealed and the following

substituted:

"middle tax rate" means 11.16 per cent; ("taux

d'imposition moyen")

(2) Subsection 3 (1) of the Act is amended

by adding the following

definitions:

"second-highest tax rate" means 12.16 per cent; ("deuxième

taux d'imposition le plus élevé")

"second-lowest tax rate" means 9.15 per cent; ("deuxième

taux d'imposition le moins élevé")

(3) The definition of "upper middle tax

rate" in subsection 3 (1) of the Act is repealed.

2. Subsection

6 (1) of the Act is repealed and the following substituted:

Basic

personal income tax

(1) The basic personal income tax for a

taxation year of an individual ending after December 31, 2013 is the sum of the

following amounts:

1. The

amount calculated by multiplying the lowest tax rate for the year by the

portion of the individual's tax base for the year that does not exceed $40,120.

2. The

amount calculated by multiplying the second-lowest tax rate for the year by the

amount by which the individual's tax base for the year exceeds $40,120 and does

not exceed $80,242.

3. The

amount calculated by multiplying the middle tax rate for the year by the amount

by which the individual's tax base for the year exceeds $80,242 and does not

exceed $150,000.

4. The

amount calculated by multiplying the second-highest tax rate for the year by

the amount by which the individual's tax base for the year exceeds $150,000 and

does not exceed $220,000.

5. The

amount calculated by multiplying the highest tax rate for the year by the

amount by which the individual's tax base for the year exceeds $220,000.

3. Paragraph

1 of subsection 23 (1) of the Act is repealed and the following substituted:

1. Paragraphs

1 and 2 of subsection 6 (1) with respect to taxation years ending after

December 31, 2014.

1.1 Paragraph

3 of subsection 6 (1), except for the amount of $150,000, with respect to

taxation years ending after December 31, 2014.

Commencement

4. This

Act is deemed to have come into force on January 1, 2014.

Short

title

5. The

short title of this Act is the Taxation Amendment

Act, 2014 .

EXPLANATORY

NOTE

This

Explanatory Note was written as a reader's aid to Bill 26 and does not form

part of the law. Bill 26 has been enacted as

Chapter 8 of the Statutes of

Ontario, 2014 .

Currently,

subsection 3 (1) of the Taxation Act, 2007 defines

four tax rates that are used in calculating an individual's basic personal

income tax. Effective for taxation years ending after December 31, 2013,

amendments to that subsection define two additional tax rates - the

"second-lowest tax rate" and the "second- highest tax rate" - repeal the

definition of "upper middle tax rate" and change the middle tax rate, resulting

in five tax rates: the lowest tax rate, the second-lowest tax rate, the middle

tax rate, the second-highest tax rate and the highest tax rate.

Subsection

6 (1) of the Act governs the calculation of an individual's basic personal

income tax for a year. Effective for taxation years ending after December 31,

2013, that subsection is re-enacted to specify the tax brackets for which each

of the five tax rates applies.

Currently,

under paragraph 1 of subsection 23 (1) of the Act, all of the dollar amounts in

the tax brackets set out in subsection 6 (1) of the Act are adjusted each year

with reference to the change in the Consumer Price Index for Ontario. That

paragraph is re-enacted, and paragraph 1.1 is added, to provide for the

adjustment of specified dollar amounts in three of the tax brackets.

Date Bill stage Activity Committee

July 24, 2014

Royal Assent

Royal Assent received

July 24, 2014

Third Reading

Carried on division

July 24, 2014

Ordered for Third Reading pursuant to the Order of the House

July 24, 2014

Second Reading

Carried on division

July 24, 2014

Motion to arrange proceedings

July 24, 2014

First Reading

Carried

Debates and Progress

First Reading

July 24, 2014

Motion to Arrange Proceedings

July 24, 2014

Declared carried.

Committee

Second Reading

July 24, 2014

Carried on division. Ordered for third reading pursuant to the order of the House.

Committee

Third Reading

July 24, 2014

Carried on division.

Royal Assent

7/24/2014

Acts affected - Bill 26

Most Ontario public acts are available electronically; to view copies of the Acts to be amended by this bill visit e-laws

Taxation Act, 2007

Legislative Assembly of Ontario

Was this page helpful? Yes , I found this page helpful. An optional survey will open in a new tab. No , I didn’t find this page helpful. An optional survey will open in a new tab.

Back to top

Document details

Collection	Ontario — Bills
Citation	Bill 26, 41-1
Type	bill
Volume / chapter	p41 s1 bill 26 html
Language	en
Format	html
Source	PROVINCIAL
Identifier	a509d8bfa9f1333a6d24c68523059aec866aa7d9

Source file is stored in the law ingest library (html).