Disappointment is the reaction of the Canadian Federation of Independent Business to the third provincial budget from the Gallant Government.
Louis-Philippe Gauthier says at a minimum they are glad there are no new taxes in the budget.
As expected, the government announced a continued reduction in the small business tax.
“We’re kind of dismayed that the provincial government is continuing into the direction of reducing only one of the taxes imposed on small business, but unfortunately a whole series of other taxes have gone up in the meanwhile,” says Gauthier. “Property taxes have gone up, gas and diesel fuels taxes have gone up, minimum wage has gone up, workers compensation rates have gone up, and entrepreneurs know that over the future there’s gonna be additional ones, we’re gonna have the carbon tax, CPP rates are going to go higher.”
Gauthier says the savings from the expected drop in the small business tax are outweighed by increases in other costs and taxes.
“Is reducing one tax while raising a whole bunch of others, is that helpful? I’ll give you an example,” says Gauthier. “If I give you a dollar, and at the same time I reach into your pockets and pull out three bucks can I say that I’m being helpful? And that’s the effect that small businesses are feeling right now.”
More details about the provincial budget for 2017-2018 can be found HERE
