The New Democratic Party government of Alberta has released its 2015-2016 budget and, in it, outlined new changes to tax on insurance premiums that could affect clients in Alberta.
As of April 1st 2016, taxes on insurance premiums will see a 1% increase, meaning from that date there will be a 3% tax on premiums for insurance such as life, accident and sickness, and a 4% tax on premiums for most other types of insurance.
The government estimates these increases will generate an estimated $158 million in revenue in 2016-17. “Overall this budget lays out a responsible economic plan that will serve as a shock absorber to our short-term challenges and grow the economy over the long term” said Joe Ceci, finance minister.
