Halifax, April 19, 2016 – According to the Canadian Federation of Independent Business (CFIB), small business owners across Nova Scotia will be pleased to see the provincial budget brought into balance however Nova Scotians will continue to live under some of the highest tax burdens in the country.
“While we are obviously pleased to see a modest surplus, we don’t see anything which will reduce the tax burden on small- and medium- sized business anytime soon,” said Nick Langley, Director of Provincial Affairs, Nova Scotia for CFIB. “Our members continue to ask for relief, however the reality is the government continues to increase spending and expanding the size of government by growing the public service by 6%.”
While expenses have grown only slightly, it needs to be noted the growth of government is set against a backdrop of a shrinking population and only marginal inflation. Credit should be given for some prudence but much more needs to be done to bring the overall tax burden and especially the Basic Personal Exemption in-line with the national average and indexing our tax brackets to inflation.
CFIB is pleased several of its recommendations were included in the 2016 budget:
- Making a balanced budget a priority;
- Maintain the commitment to red tape reduction to ease the regulatory burden on small business;
- Maintain the small business tax rate at 3%.
While CFIB is giving the 2016 provincial budget a B-, “This is a status quo budget for Nova Scotia’s small business,” Langley said. “If we are to see progress and economic growth in this sector the government of Nova Scotia needs to understand that tax relief is not simply desirable, it is necessary.”
To arrange an interview with Nick Langley, please contact Kate Allen at 902-420-1997 or [email protected]
CFIB is Canada’s largest association of small and medium-sized businesses with 109,000 national members, including 5,200 members in Nova Scotia, across every sector and region.