S+C Partners’ 2011 Federal and Provincial Budget Commentary for Mississauga and GTA business owners

2011 Federal Budget Highlights

Federal Finance Minister Jim Flaherty tabled his sixth Budget in the House of Commons on Tuesday, March 22 in a political atmosphere that was perhaps more tense and confrontational than at any time in recent Canadian history.As expected based on pre-Budget statements, immediately following the Minister’s speech both Liberal leader Michael Ignatieff and Bloc Quebecois leader Gilles Duceppe said their parties would reject the proposed Budget in Parliament. Somewhat less expected was that NDP leader Jack Layton also said his party would not support the Budget “as presented.” Failing some compromise, Prime Minister Stephen Harper will likely be obliged to call a federal election, perhaps as early as within the next few days, in which case the Budget’s proposals will not be enacted into law.

2011Ontario Budget Commentary

Finance Minister Dwight Duncan delivered Ontario’s 2011 Budget on March 29, 2011. The Budget is projecting a deficit of $16.7 billion in 2010-11, $3 billion lower than projected a year ago, and decreasing to $16.3 billion in 2011-12. The 2010 Budget put forward a plan to cut the deficit in half within five years and to eliminate it in eight years. The government remains on track to meet the fiscal targets outlined in the 2010 Budget beyond 2012-13. This includes steadily declining deficits and a return to a balanced budget by 2017-18.