Specifi- and raised the Low-Income Senior’s Benefit from cally, the government opted for a two-rate sys- $200 to $400 by 2010.2 A summary of the per- tem for the PIT (9% and 12%) and the reduction sonal income tax reform introduced in the 2009 in the CIT rate from 13% to 8%. [...] The in- been in a deficit position even without tax reform, crease in the income level eligible for the small the revenue loss in 2009 from the income tax business tax rate saves them approximately $1 reductions simply raised the level of the deficit million per year. [...] However, neither in the searchers on the strength of the response of per- 2008 Discussion Paper nor in the 2009 Budget sonal savings to changes in the after-tax rate of does the government provide empirical evidence return, the range of estimates in the literature for New Brunswick that would support such a is not wide and the value used in economic claim. [...] Of specific rel- micro-simulations to measure the economic ef- evance to New Brunswick’s tax reform is their fects of a number of options for reducing personal finding that “in the case of tax rates, the overall income taxes, including an across-the-board rate change in the number of migrants is smallest for reduction, a reduction in the rates of the lower the high income group” (p. [...] The relationship between the income share Table 6 shows the benefit received by the av- and the share of the tax reform benefit is shown erage family in each income class.