Premier Doug Ford says the Ontario government will be giving each taxpayer a $200 tax-free rebate.
Ford made the announcement at a news conference Tuesday and said those with kids will get more.
“Because we know kids come with more expenses, parents will receive an additional $200 for every eligible child,” he said.
That could mean that a family of five with three children under the age of 18 could receive $1,000.
“These $200 cheques will make a big difference for families across the province, with cheques arriving early in the new year,” Ford said.
Cutting the cheques will cost the province $3 billion, the government said.
Ford said the government is providing the rebates due to the “high costs of the federal carbon tax and interest rates” and said they can afford to do so because inflation has produced higher provincial sales tax revenue and because of the federal government’s recent changes to the capital gains tax.
Those eligible for the rebate must be 18 years or older at the end of 2023; be a resident in Ontario on December 31, 2023; have filed their 2023 Income Tax and Benefit Return by December 31, 2024; and not be bankrupt or incarcerated in 2024.
The announcement comes just a day before the Ford government is scheduled to provide a fall economic update.
Move comes amid possibility of early election
The move also comes amid speculation that Premier Ford could call an early election next year.
While he has said that there won’t be an election this year, he has refused to rule one out for 2025. The next scheduled election in Ontario is June 2026.
Ford also used the announcement to lash out at political rivals, saying “not everyone would take this same approach.”
He claimed the Liberals and NDP would reimpose fees that have been cut and add new taxes.
Speaking at Queen’s Park in a separate press conference Tuesday, Ontario Liberal Leader Bonnie Crombie slammed the move as a “gimmick” and said that the Ford government should be putting money toward a promised tax cut instead of handing out cheques if they want to save people money.
“This is a government that has been promising a tax cut for six years, and now a pre-election gimmick of two-hundred dollars one time; your money to buy your vote,” Crombie said. “Why not deliver the middle income tax cut? We need sustainable tax relief.”
Asked whether he’s trying to buy votes with the tax rebate, Ford said his government has been trying to help people keep more money in their pockets since “Day One.”