Income tax cut will cost $2.6 billion more than reported and top earners could benefit the most: PBO

Canadians making between $160,000 and $227,500 will save about $257 a year compared with the $211 saving of those making $51,000

Some of the country’s highest earners could end up getting more benefit from the Liberals’ new income-tax cut than those at the lower end of the income scale, the federal spending watchdog says.

A report Tuesday from the parliamentary budget office says Canadians making between about $160,000 and $227,500 will, on average, save about $257 a year in taxes once the tax cut is fully implemented in 2023.

That’s more than the $211 the PBO expects to be saved by those making around $51,000.