The Thunder Bay Chamber of Commerce is joining the Canadian Chamber of Commerce in applauding the steps taken in the Federal Economic Statement to improve competitiveness through faster write-offs for new investment, removing trade barriers in Canada and undertaking regulatory reform.
The Canadian Chamber has been calling for the immediate implementation of 100% write offs of capital investments across all economic sectors. The measures announced in the Fall Economic Statement are an important step in the right direction for accelerated capital cost allowance. These changes will spur business investment as Canada now has the lowest Marginal Effective Tax Rate on new business investment in the G7.
We also welcome the commitment to regulatory reform. These announcements reflect some of the core elements of the Canadian Chamber’s report Death by 130,000 Cuts: Improving Canada’s Regulatory Competitiveness, which was released earlier this year.
Of specific interest to Northern Ontario is the five-year extension of the 15% Mineral Exploration Tax Credit which helps junior exploration companies raise capital to finance early stage mineral exploration.
While the measures announced will help address Canada’s competitiveness challenges, the Canadian Chamber remains concerned that the government has not committed to a full review of our tax system, or set out a clear, realistic strategy for balancing the public books. The Chamber network will continue to work with the federal government to ensure the voice of the business community is heard in order to build a more prosperous Canada where all Canadians have the opportunity to succeed.
Read the Canadian Chamber’s full policy analysis of the Fall Economic Update here.