Houston Gov. Ready to Expand Under-30 Tax Cut to Former Military Members

The Houston government says it is willing to consider extending a tax break to veterans of all ages aimed at Nova Scotians under 30 in high-demand jobs.

The idea came up at a veterans committee meeting earlier this week.

New Democratic MP Gary Burrill asked Ava Czapalay, Deputy Minister of Labour, Skills and Immigration, if the province had considered providing the same tax break to veterans seeking a new career in a skilled trade .

“Does this seem like an idea that has merit?” » asked Burrill.

“Any suggestions are welcome, in terms of incentivizing people to pursue skilled trades,” Czapalay said.

“I will take this back and we will get an answer for you,” he added, referring to the Finance Ministry.

Low adoption so far

To date, the More Opportunities for Skilled Trades (MOST) program has garnered only lukewarm support and has cost a fraction of what the provincial government had originally budgeted. In making the announcement, the Ministry of Finance said 7,600 workers would be eligible for the rebate and the program would cost the province $21 million.

Those who qualify receive a rebate equal to the provincial portion of the income tax they pay on the first $50,000 they earn.

According to the latest figures from the province, so far, 2,405 people have been approved for fiscal year 2022. They will receive a total of $7.8 million from the province. The deadline to request the rebate is June 30.

Speaking to reporters after the meeting, retired Lt. Cmdr. Dave Giannou said the tax break could help some of the people the organization he works for is trying to help transition from military careers to civilian employment.

“Absolutely a plus,” said Giannou, Atlantic representative for Helmets to Hardhats, a nonprofit group that connects former military personnel, their partners and dependents with training and jobs in the skilled trades .

“If you make a lot of money in the military after 15 years and you come out and start as a first-year apprentice, you don’t make the same money,” Giannou said. “You still have mortgages, car payments, you’re probably married, have kids, bills to pay.

“So if you can get a tax break, which allows you to put more money back into your household to support your family, then yes, that’s beneficial.”

Addressing the regional wage gap

Giannou said the average age of veterans seeking advice from his organization is 33, just above the MOST age limit.

“When I saw the program, for those 30 and under, I thought it was a shame,” Giannou told the committee. “This advantage could encourage military personnel to enter the trades.”

Brad Smith, executive director of the Mainland Nova Scotia Building Trades Council, one of the organizations helping fund the Helmet to Helmet initiative, also liked the idea.

He added that this could help stem the flow of skilled workers training to the West after obtaining their certification.

“We have a big challenge because of what is paid in Nova Scotia versus what they can earn in the West,” Smith said. “There’s a reason we have direct flights to Edmonton and Calgary and it’s because of the amount of money people can make out west.

“So we need to do everything we can to make sure we retain our artisans here.”

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