Budget 2024

Summary: Newfoundland and Labrador Budget 2024

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Finance Minister and Deputy Premier Siobhán Coady tabled Newfoundland and Labrador’s budget (NL Budget 2024) for the 2024-25 fiscal year on March 21, 2024.

Most notably, NL Budget 2024 reduces the small business tax rate retroactively, effective from January 1, 2024. The budget makes no changes to the personal tax rate or the current Harmonized Sales Tax (HST) rate.

NL Budget 2024 projects a deficit of $433 million for the 2023-24 fiscal year, compared to a $160 million deficit projected in the previous budget. 

Fiscal projections for the next five years are as follows:

Year Projected surplus/(deficit)
2024-25 ($152 million)
2025-26 $58 million
2026-27 $52 million
2027-28 $68 million
2028-29 $60 million

Business tax measures

Corporate tax rates

NL Budget 2024 reduces the small business tax rate on the first $500,000 of active business income to 2.5% (from 3%) effective January 1, 2024. There was no change to the $500,000 small business limit.  

Combined federal and provincial corporate tax rates

Small business tax rate General corporate tax rate Manufacturing and processing tax rate
11.5% 30.0% 30.0%

Personal tax measures

Personal income tax rates

NL Budget 2024 doesn’t change the personal rates. The indexed personal tax brackets and the respective marginal tax rates for 2024 are as follows:

Tax brackets 2024 marginal tax rates
$43,198 or less 8.7%
$43,199 - $86,395 14.5%
$86,396 - $154,244 15.8%
$154,245 - $215,943 17.8%
$215,944 - $275,870 19.8%
$275,871 - $551,739 20.8%
$551,740 - $1,103,478 21.3%
$1,103,479 and over 21.8%

The top combined federal and provincial marginal tax rates for 2024 are as follows:

Type of income 2024
Salary / Interest 54.80%
Capital gains 27.40%
Eligible dividends 46.20%
Non-eligible dividends 48.96%

Other notable measures

Health care – NL Budget 2024 provides $4.1 billion in health care spending to support initiatives, such as hiring additional health care providers, investing in health information management infrastructure, and expanding mental health and addiction programs.

Housing – NL Budget 2024 provides $80 million over two years for the Affordable Homes Program to support the development of new affordable rental housing in Newfoundland and Labrador.

Seniors – NL Budget 2024 provides $10 million for a Seniors’ Well-Being Plan, which includes grants for low-income seniors and increased investments for home repair and modifications.

Business and economic development – NL Budget 2024 provides $35 million to support economic development initiatives, which includes research and development, commercialization, and business growth activities.


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Visit our Budget 2024 hub to learn more about all federal and provincial budgets.   


The information contained herein is general in nature and is based on proposals that are subject to change. It is not, and should not be construed as, accounting, legal or tax advice or an opinion provided by Grant Thornton LLP to the reader. This material may not be applicable to, or suitable for, specific circumstances or needs and may require consideration of other factors not described herein.


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