The Manitoba government will be looking to phase out the education property tax, according to its latest budget.
The 2021-22 budget, which was released on Wednesday, says it will be cutting down the education tax for owners of residential and farm property by 50 percent over the next two years. It will be cut down 25 percent each year.
Owners for other types of property will be seeing a 10 percent cut.
The move comes sooner than expected, as the original promise by the Progressive Conservatives was to gradually eliminate school taxes from property tax bills, and would’ve taken 10 years. The government was supposed to eliminate the tax in 2023 after it balanced the budget in 2022. But balancing the budget was delayed because of the COVID-19 Pandemic.
Rebate cheques are expected to be sent out as early as June.
Homeowners are expected to save $210 this year from the rebate and reductions to the existing property tax offsets.
Meanwhile, the province is planning to bring down the 2021-22 budget deficit by around $400 million and to be at $1.6 billion.