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Budget 2021

Revenue

Government projections of revenue from taxes, non-renewable resource transfers and other sources.

Overview

As of the first quarter fiscal update, Alberta’s revenue forecast has improved, with global oil prices strengthening faster than expected and an improved economic outlook including lower unemployment and increased exports.

Download: 2021-22 First Quarter Fiscal Update and Economic Statement (PDF, 1.1 MB)

Estimate

Provincial revenue is projected to be $55 billion in 2021-22.

Table 1. Overall revenue (millions of dollars)

Source: Treasury Board and Finance
Revenue sources 2020-21 Actual 2021-22 Estimate 2021-22 Forecast Change from Budget
Income and other taxes 19,578 19,065 20,252 1,187
Non-renewable resource revenue 3,091 2,856 9,760 6,904
Transfers from Government of Canada 10,532 10,181 11,706 1,525
Investment income 2,643 2,205 3,322 1,117
Net income from government business enterprises (83) 1,877 2,020 143
Premiums, fees and licences 4,021 4,133 4,456 323
Other 3,355 3,380 3,464 84
Total revenue 43,137 43,697 54,980 11,283

Non-renewable resource revenue

Non-renewable resource revenue in 2021-22 is now estimated at $9.8 billion, an increase of $6.9 billion from budget, due mainly to higher bitumen royalties as oil prices have been stronger than expected.

Table 2. Non-renewable resource revenue (millions of dollars)

Source: Treasury Board and Finance
Revenue sources 2020-21 Actual 2021-22 Estimate 2021-22 Forecast Change from Budget
Bitumen royalty 2,006 1,482 7,065 5,583
Crude oil royalty 466 627 1,238 611
Natural gas and by-products royalty 465 467 1,180 713
Bonuses and sales of Crown leases 24 151 143 (8)
Rentals and fees/coal royalty 130 128 134 6
Total resource revenue 3,091 2,856 9,760 6,904

Tax revenue

Tax revenue is forecast at $20.3 billion in 2021-22, $1.2 billion more than expected in Budget 2021, as the economy is expected to recover more rapidly. Household incomes and corporate profits are forecast to increase more than budget estimates as the economy rebounds from the impacts of the COVID-19 pandemic. The government reduced the corporate income tax rate in July 2020 to encourage investment and job creation.

Personal income tax

Personal income tax revenue is estimated at $12.3 billion, an increase of $649 million due to improving employment and household income growth.

Corporate income tax

Corporate income tax is forecast at $2.5 billion in 2021-22, an improvement of $591 million from the budget estimate.

Tax revenue

Table 3. Tax revenue (millions of dollars)

Revenue sources 2020-21 Actual 2021-22 Estimate 2021-22 Forecast Change from Budget
Personal income tax 11,257 11,647 12,296 649
Corporate income tax 3,037 1,891 2,482 591
Other taxes 5,285 5,527 5,474 (53)
Total 19,578 19,065 20,252 1,187

Budget documents

More budget information

Find out what Budget 2021 means for you.

A summary of Alberta's Budget 2021 economic forecast.

Budget 2021 invests in the infrastructure families and communities need.

Summary of government spending according to Budget 2021.