The Alberta Chambers of Commerce (ACC) said it's concerned by the NDP’s announcement to increase the corporate tax from 8% to 11% if elected. .“We’ve seen the impacts of this fiscal policy before,” said ACC President and CEO Shauna Feth in a Thursday statement. .“It doesn't benefit any Albertan.”.The Alberta NDP published its costed economic platform on Tuesday, which prioritizes spending money on healthcare. .READ MORE: Alberta NDP release costed economic plan with emphasis on healthcare.“Our plan is focused on the needs of Albertans who can’t find a family doctor and are forced to wait up to 15 hours in the ER before they get care,” said Alberta NDP candidate Shannon Phillips (Lethbridge-West). .To pay for the NDP’s programs, the plan said it it will raise the corporate income tax on large businesses to 11%. This is expected to generate about $6.2 billion. .The Alberta NDP raised the corporate tax rate from 10% to 12% in 2015 because it suspected it would result in increased tax revenues for the province. The statement said corporate tax revenues, business investment, and average weekly earnings declined. .Meanwhile, the Alberta UCP reduced the corporate tax rate to the current 8% in 2020. It said corporate tax revenues, business investment, and average weekly earnings went up. .Feth called profitability of large businesses “what generates more tax revenues to fund public services, supports higher wages for employees, and higher pension fund returns.”.As a community-based organization representing tens of thousands of job creators, the ACC is attuned to the impacts fiscal policy changes have on businesses, employees, and families. In no way would a small business tax cut offset the consequences of raising the corporate tax rate. .NDP leader Rachel Notley said Monday she would eliminate the small business tax if she becomes premier. .READ MORE: Notley vows to end small business tax.“An Alberta NDP government will eliminate small business taxes for more than 100,000 small businesses, including retail establishments, restaurants, mechanic shops, family farms, and more, saving small businesses up to $10,000 per year,” said Notley. .Notley acknowledged small business owners “have been through the wringer, and they deserve better from their government.” By eliminating the tax, she said it would help thousands of businesses and support aspiring entrepreneurs to pursue their dreams. .The statement went on to say there would be $150 million in savings for small businesses and $1.6 billion in additional tax burdens to large employers per year. .It said competitive corporate tax rates attract investment. More investment in the province means more business activity and job opportunities. .For small businesses, Feth said more investment “means more contracts from large corporations for goods and services and more patronage from their employees — these are what Alberta’s entrepreneurs depend on to be viable.”.“The facts are Albertans benefit from helping businesses of all sizes to be successful with competitive tax rates,” she said.
The Alberta Chambers of Commerce (ACC) said it's concerned by the NDP’s announcement to increase the corporate tax from 8% to 11% if elected. .“We’ve seen the impacts of this fiscal policy before,” said ACC President and CEO Shauna Feth in a Thursday statement. .“It doesn't benefit any Albertan.”.The Alberta NDP published its costed economic platform on Tuesday, which prioritizes spending money on healthcare. .READ MORE: Alberta NDP release costed economic plan with emphasis on healthcare.“Our plan is focused on the needs of Albertans who can’t find a family doctor and are forced to wait up to 15 hours in the ER before they get care,” said Alberta NDP candidate Shannon Phillips (Lethbridge-West). .To pay for the NDP’s programs, the plan said it it will raise the corporate income tax on large businesses to 11%. This is expected to generate about $6.2 billion. .The Alberta NDP raised the corporate tax rate from 10% to 12% in 2015 because it suspected it would result in increased tax revenues for the province. The statement said corporate tax revenues, business investment, and average weekly earnings declined. .Meanwhile, the Alberta UCP reduced the corporate tax rate to the current 8% in 2020. It said corporate tax revenues, business investment, and average weekly earnings went up. .Feth called profitability of large businesses “what generates more tax revenues to fund public services, supports higher wages for employees, and higher pension fund returns.”.As a community-based organization representing tens of thousands of job creators, the ACC is attuned to the impacts fiscal policy changes have on businesses, employees, and families. In no way would a small business tax cut offset the consequences of raising the corporate tax rate. .NDP leader Rachel Notley said Monday she would eliminate the small business tax if she becomes premier. .READ MORE: Notley vows to end small business tax.“An Alberta NDP government will eliminate small business taxes for more than 100,000 small businesses, including retail establishments, restaurants, mechanic shops, family farms, and more, saving small businesses up to $10,000 per year,” said Notley. .Notley acknowledged small business owners “have been through the wringer, and they deserve better from their government.” By eliminating the tax, she said it would help thousands of businesses and support aspiring entrepreneurs to pursue their dreams. .The statement went on to say there would be $150 million in savings for small businesses and $1.6 billion in additional tax burdens to large employers per year. .It said competitive corporate tax rates attract investment. More investment in the province means more business activity and job opportunities. .For small businesses, Feth said more investment “means more contracts from large corporations for goods and services and more patronage from their employees — these are what Alberta’s entrepreneurs depend on to be viable.”.“The facts are Albertans benefit from helping businesses of all sizes to be successful with competitive tax rates,” she said.
