Government delivers balanced budget, low-tax plan for jobs and growth
April 22, 2015 – Vancouver, British Columbia – Industry Canada
James Moore, Minister of Industry and Minister Responsible for British Columbia, today delivered a keynote address to members of the Business Council of British Columbia on Economic Action Plan 2015 and what benefits it will bring to families and businesses across the province.
The Minister highlighted important measures that will support industries in British Columbia. Specifically, he outlined the impact that reducing the small business tax rate from 11 percent to 9 percent will have on B.C.'s local economy, helping local businesses grow and create jobs. He also discussed how the new 10-year capital cost allowance incentive will give businesses greater planning certainty for larger projects.
The Government has provided unprecedented support for public transit, including $416.7 million for the construction of the Evergreen Line in Metro Vancouver that will connect communities and provide more transportation options for families in the Lower Mainland. Economic Action Plan 2015 will build on the Government's record funding commitments by creating a new Public Transit Fund that will improve the mobility of goods and people and provide broad economic and social benefits to the province and Canada.
Economic Action Plan 2015 includes key measures to support families and businesses in British Columbia, including:
- Support for jobs and growth: Reducing the small business tax rate to 9 percent by 2019, putting an estimated $2.7 billion back in the pockets of job-creating small businesses and their owners between now and 2019–20.
- Support for manufacturers: Providing manufacturers with a 10-year accelerated capital cost allowance to encourage productivity-enhancing investment in machinery and equipment.
- Support for infrastructure: Continuing to provide record investments in provincial, territorial and municipal infrastructure under the New Building Canada Plan and creating a new Public Transit Fund aimed at building new public transit infrastructure to reduce congestion and fight gridlock.
- Support for families: Providing support to 100 percent of families with children by lowering taxes and increasing benefits. An average family will receive $6,600 in support per year.
- Tax-Free Savings Account: Increasing the Tax-Free Savings Account annual contribution limit to $10,000, effective in the 2015 taxation year. There are now 11 million Canadians who have opened accounts to save money for their priorities.
- Support for job-creating businesses: Providing tax relief to the liquified natural gas (LNG) industry and new funding to the forestry sector to help diversify their markets to emerging economies. These initiatives will help create jobs and economic growth in British Columbia.
- Support for seniors: Providing more flexibility for seniors by reducing the minimum withdrawal factors for Registered Retirement Income Funds, enabling seniors to preserve more of their retirement savings. Economic Action Plan 2015 also proposes to introduce a new, permanent, non-refundable Home Accessibility Tax Credit for seniors and persons with disabilities.
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Office of the Minister of Industry