In its quarterly earnings report released today, Canada’s largest newspaper company said that it expects to receive $8 to 10 million per year from the federal government’s new tax credit for journalist salaries.
“Based on our current staffing levels,” wrote the management of Postmedia, “we expect the per-annum journalism tax credit to be between $8 million and $10 million,” dating from January 1 of this year [pdf].
The refundable labour tax credit introduced by the government in its most recent budget will subsidize 25% of the salaries of “eligible newsroom employees,” to a maximum of $13,750 per person per year. A subsidy of $9 million would represent about 650 employees with annual salaries of at least $55,000 each. (Many Postmedia journalists, especially at community papers, likely earn less.) This subsidy for the country’s biggest newspaper company would also represent just an eighth of what the government has budgeted for the whole program.