Canada Prime Minister Justin Trudeau makes his way to his seat at the start of the First Ministers Meeting in Ottawa, Tuesday, Oct. 3, 2017. (Adrian Wyld/The Canadian Press via AP)

Budget watchdog says federal deficit this year to be $16.1 billion

Corporate income-tax revenues are $3 billion higher than the watchdog forecast in October

The parliamentary budget watchdog is projecting the federal deficit this fiscal year will come in $2.1 billion lower than the Liberals have predicted.

Yves Giroux’s office chalks up the change to higher-than-anticipated income-tax revenues that the government has collected this fiscal year, which closes in March.

A report out this morning from the parliamentary budget office predicts that this year’s budget deficit will be $16 billion, less than the $18.1 billion the Liberals anticipate.

Had the economy been weaker or tax revenues lower, the report says, the federal deficit for the 2018-2019 fiscal year could have hit $23.2 billion when taking into account extra spending in Finance Minister Bill Morneau’s fall economic update.

READ MORE: Finance Department predicts federal budget will be balanced by 2040

More than half the $7.2-billion swing in the projection is due to stronger tax revenues than Giroux predicted in the fall.

The report says corporate income-tax revenues are $3 billion higher than the watchdog forecast in October.

The Canadian Press

Like us on Facebook and follow us on Twitter.

Just Posted

New Sarepta students host political forum Apr. 10

Political Forum hosted by NSCHS Students

Robbery in Leduc County estimated at $40,000

Leduc RCMP investigate break and enter and theft of firearms

Motorcyclist seriously injured after hit on one-way road in Nisku

Leduc RCMP respond to vehicle versus motorcycle with serious injuries

OPINION: Jason Kenney won by portraying himself as the Guardian of Alberta

How did Kenney do it? He never considered himself an opposition leader and didn’t pretend to be one.

EALT enhanced critical habitat on our lands by planting 263,000 native trees

Celebrating a Decade of Conserving Nature for our Communities

Homeless activists outside Notre Dame demand ‘a roof too’

Wealthy people have donated millions to effort to rebuild cathedral after devastating fire

Singh says childhood abuse steeled him for scrutiny and stress of politics

He recounts the assaults for the first time in his book Love & Courage

Despite five extra weeks’ parental leave in Canada, dads still face stigma: survey

One reason people said dads don’t need leave is because they can just bond with their kids at weekend

Calgary’s public school board responds to Syrian child’s suicide after bullying

Amal Alshteiwi, a newcomer to Canada from Syria, took her own life several weeks ago

Child, 11, accidentally shot in the chest at Alberta religious colony

Child taken from Hutterite colony to nearby hospital

Woman in critical condition after motorcycle crash on Edmonton highway

Police say both women were thrown from the bike, and the van continued forward, hitting a Nissan Altima

Ceremonies, vigils planned in Toronto to honour victims of deadly van attack

Many of those who helped that day — first responders and Good Samaritans alike — still affected

New study suggests oilsands greenhouse gas emissions underestimated

New study is the first to use actual field measurements taken from aerial overflights, or top-down measurements

Shoppers Drug Mart launches second online medical pot portal in Alberta

As in Ontario, the Alberta platform touts ‘expert advice and counsel from trusted health-care professionals’

Most Read