Islanders to receive inflationary support payment this week
This week, over 90,000 Island residents will receive a relief payment to support those most affected by pressures brought on by inflation.
The inflationary support payment is a provincially funded initiative that will be delivered in collaboration with the Canada Revenue Agency (CRA) to provide an income tested support payment of up to $150 per qualified individual.
“As we emerge from a global pandemic and face significantly high inflation due to global events, we know that as a government we have to deliver whatever support we can within our provincial means, to help people. We are proud to partner with our federal colleagues to reach more than 90,000 Islanders with this support payment.”
- Premier Dennis King
The inflationary support payment will begin to roll out to those who are enlisted in direct deposit with the CRA as early as July 5, 2022, and those who are not subscribed to direct deposit will receive their cheque in the mail in the coming days.
“Our government has always, and will always be here to support Islanders who are most affected by external factors beyond their control, which is what we are seeing with high inflationary prices right now,” said Minister of Finance Darlene Compton. “As our residents continue to feel the impact of price increases, this initiative coupled with other targeted supports that we have announced, will help those who are feeling the effects everyday.”
This support payment will be combined with the provincial carbon rebate and quarterly HST rebate cheque funded by the province and distributed by the CRA.
Department of Finance
As outlined and authorized with the passing of Bill no. 64: An Act to Amend the Income Tax Act (No.3) during the Winter/Spring sitting, the provincial government is proud to deliver a support payment to assist over 90,000 Island residents during significant increases in inflationary pressures.
- A single person making approximately $70,000 per year or less will receive a support payment of $150.
- A single person making between $70,000 and $84,000 will receive a prorated amount based on level of income.
- Couples who earn approximately $70,000 or less in combined income will receive $150 each.
- Couples making from $70,000 to $100,000 in combined income will receive a prorated amount based on the level of combined income.
John Doe is single and has an income of $45,000 and would receive PEI sales tax credits of $41.25 per quarter or $165 annually. On the July credit, John Doe will receive an additional one-time carbon amount of $140 plus $150 for the inflationary support payment for a combined July payment of $331.25. John Doe’s annual combined amount is $455.
Jane Doe is single and has an income of $55,000 and receives PEI sales tax credits of $16.25 per quarter or $65 annually. On her July credit, Jane Doe will receive an additional one-time carbon amount of $115 plus $150 for the Emergency Support Payment for a combined July credit of $281.25. Jane Doe’s combined annual combined sales tax, carbon and relief amount is $330.
Jill Doe is a single parent with an income of $45,000. She will receive PEI Sales tax credits of $55 per quarter or $220 annually. On her July credit, Jill Doe will receive an additional one-time carbon amount of $140 plus Jill Doe and her child will receive the inflation relief amount of $150 for a combined July amount of $495. Jill Doe’s annual combined amount for sales tax, carbon and emergency is $660.
Joanne Doe and Janice Doe are married with a combined income of $63,000 and do not qualify for a PEI sales tax credit. However, they will now qualify for a carbon rebate of $65 and each will receive an inflationary relief amount of $150 for a total of $365.