Tax credit won’t work; students disappointed with budget

For Immediate Release September 17, 2009

(Halifax) – Students in Nova Scotia are disappointed in a government budget that promises a graduate retention tax credit that won’t retain graduates or help students struggling with the cost of education. A spokesperson from the Alliance of Nova Scotia Student Associations suggests the money would be better spent in tuition reductions and access initiatives to help students who can’t afford the cost of education today.

Recent results from the National Graduate Survey suggest that the 100 Million dollars spent on similar retention tax credits by governments in Manitoba and New Brunswick have had no effect on increasing or decreasing the likelihood of graduates to stay in those provinces after graduation.

“If our government is serious about retaining graduates, they should focus on shaping and strengthening the knowledge economy that will both stimulate economic development and innovation within Nova Scotia, and also attract and retain young workers,” said Mark Coffin, Executive Director of the Alliance of Nova Scotia Student Associations.

“This tax credit will reward students at the wrong end of a degree that too many cannot afford to begin with,” added Coffin. “Our government needs to increase university funding, develop a stronger tuition reduction plan and implement programs that will guarantee access to those who are facing barriers at the front end of our university system.”

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