Tag: Pre-Budget Submission

Further Offset Measures Needed in Upcoming Budget to Keep Ontario Competitive

2018 Provincial Pre-Budget Submission


The Ontario Chamber Network calls for tax reform, smart spending to support Ontario businesses

Today the Oakville Chamber of Commerce, in partnership with the Ontario Chamber of Commerce, provided the Ontario government with 11 recommendations for the upcoming provincial budget that will help businesses manage costs and secure the province’s competitive advantage. The submission, presented to the Standing Committee on Finance and Economic Affairs, calls on the government to implement taxation reforms and smart infrastructure and transportation spending to maximize growth and benefit all regions of Ontario.

As the cost of doing business in the province continues to increase, and Ontario employers take on one of the largest wage increases in recent history, Ontario’s Chamber Network is recommending the government reinstate the scheduled corporate income tax rate from 11.5 per cent to 10 per cent. The submission also calls on the harmonization of the Business Education Tax across the province, as well as targeted reductions to the Employer Health tax.  

“Employers in Oakville of all sizes are feeling the pressure from rising costs, and more than ever our local business communities are lacking confidence in the future of Ontario’s economy,” said John Sawyer, President, Oakville Chamber of Commerce. “The recent minimum wage and labour and employment standard changes will cost Ontario businesses an estimated $23 billion over the next two years. We need more support for business and the government’s commitments made in last year’s Fall Economic Statement are simply insufficient.”

The pre-budget submission also recommends that the government create additional small business deduction tax brackets, as well as delay taxation on corporate income growth to overcome the scale-up challenge.  Currently, all businesses with an annual income of $500,000 or less are taxed at a flat rate. A bracketed taxation system would give startup and SMEs more room to grow. Currently in Ontario, 71 per cent of private sector jobs can be attributed to the activities of small and medium sized enterprises.

“Ontario needs a competitive taxation system, that encourages investment and minimizes red tape, must be in Ontario’s long-term strategic plan,” said Mr. Sawyer. “As the U.S. pursues tax reform that would lower their federal corporate tax rate by 15 per cent, and with the uncertain future of NAFTA, we must find ways to keep Ontario competitive.”

The Ontario Chamber Network also encourages members of the committee and government to consider how are we leveraging Ontario’s greatest asset—human capital.

The recommendations outlined in the Ontario Chamber’s pre-budget submission all come directly from Ontario’s Chamber Network through policy resolutions at the Ontario Chamber of Commerce Annual General Meeting.

Read the full submission and all 11 recommendations.



Focus spring legislative session on strategic infrastructure and lowering costs to foster confidence: Oakville Chamber of Commerce

Today, the Oakville Chamber of Commerce, in partnership with the Ontario Chamber of Commerce, formally released its 2017 pre-budget submission containing recommendations to the Ontario legislature as it looks to begin its spring 2017 legislative session. The submission outlines four key budget priorities and thirteen specific recommendations for Queen’s Park to adopt in order to restore fiscal balance and spur economic growth.

Specifically, the Oakville Chamber of Commerce is looking for immediate support for strategic infrastructure investments and sound budget management. Oakville businesses have stated rising costs as the most significant factor impacting business and industry, according to the Oakville Chamber of Commerce’s 2016 Advocacy Survey. The survey also revealed that transportation infrastructure and traffic congestion remains a top concern for the Oakville business community. In fact, 64% of respondents believe that traffic congestion is a significant obstacle for business. Furthermore, the top three infrastructure priorities identified by respondents were all transportation related, calling for investments in local roads and bridges, public parking, and transit. The Oakville Chamber of Commerce urges the provincial government to address the infrastructure deficit by investing infrastructure funds strategically to increase productivity and enable competitiveness for Oakville businesses.

“The Ontario Chamber of Commerce, in partnership with our diverse Chamber Network, will continue to work with the provincial government to ensure that Ontario prioritizes reducing obstacles to business competitiveness,” said Allan O’Dette, President & CEO of the Ontario Chamber of Commerce. “By taking more authoritative action on this issue, we can ensure that Ontario remains an attractive environment for capital investment.” In the submission, Ontario’s Chamber Network is also calling on the government to send a clear message of fiscal stability by balancing the provincial budget by 2017-2018. Such action would result in a more attractive environment for business investment and growth as well as confront the challenge of mounting input costs, such as electricity prices. As signalled last week in the Ontario Chamber of Commerce’s Ontario Economic Report, businesses are maintaining their operations and holding onto cash rather than expanding production or investing. This indicates that industry sees the Ontario economy as high-risk.

“The Government of Ontario must ensure that it addresses recommendations made by the Oakville Chamber of Commerce in their provincial budget in order to support economic growth for Ontario businesses,” stated John Sawyer, President of the Oakville Chamber of Commerce. “Government must focus on reducing the costs of doing business in Ontario, supporting strategic infrastructure development and strengthening its efforts to bolster business competitiveness that allows Oakville to thrive.”

Addressing the current fiscal context and achieving a balanced budget is an underlying theme throughout the pre-budget submission. Ontario’s Chamber Network is committed to working with the Ontario Government to ensure the future economic success of the province. The submission is largely comprised of policy recommendations that are supported by resolutions passed by Ontario’s Chamber Network at the Ontario Chamber of Commerce’s most recent Annual General Meeting.