Premier Danielle Smith is considering additional tax breaks for Albertan parents to encourage population growth from within the province.
Pregnant woman w/ 3 children pictured (left)
In an interview with The Counter Signal’s Keean Bexte, Smith was asked how Alberta could promote higher birth rates among its citizens rather than relying on immigration. According to Statistics Canada, 98% of Canada’s population growth between July 2022 and 2023 was driven by international migration.
Smith said that she has discussed new tax reduction policies with her finance minister, inspired by a model used in Hungary. Under that system, women receive a 25% permanent reduction in personal income tax for each child they have. By the time a woman has four children, she no longer pays personal income tax for the rest of her life.
The Premier further said that Alberta hasn’t explored that specific approach, but noted that her former finance minister had considered other ways to provide relief to families, such as offering additional rebates or personal exemptions for each child.
“So that again, families can keep more of what they earn so they can care for their kids,” Smith said during the interview.
Alberta already ranks as one of Canada’s younger, and more family-friendly provinces. The province offers a generous basic personal exemption and spousal exemption, which enables single-income families to earn a larger portion of their income tax-free.
During the interview, Smith also announced that her caucus will discuss the potential reinstatement of MLA Jennifer Johnson following her removal over controversial remarks related to gender ideology.
