SMEs ARE DRIVING THE ECONOMY.
HELP CLEAR THE ROAD AHEAD!

My business in Quebec is still facing a lot of challenges:

  • Unfair taxation for smaller businesses
  • Increased wages and payroll taxes
  • Burden of debt incurred due to the pandemic
  • Loss of profit and refusal of contracts due to labour shortages

I need more support and flexibility from the government to keep contributing to Quebec’s economy!

SMEs ARE BEING CRUSHED BY PROVINCIAL TAXES

Quebec is at the top of the list.

Quebec employers pay 32% more than Ontario employers do.

2022 EFFECTIVE RATE TAXES PAYABLE
(On a $59,000 salary)
Quebec 13.39 % $7,897
British Columbia 11.07 % $6,534
Manitoba 10.64 % $6,276
Newfoundland & Labrador 10.38 % $6,126
Nova Scotia 10.22 % $6,032
Canada 10.17 % $5,998
Ontario 10.16 % $5,996
New Brunswick 9.26 % $5,466
Prince Edward Island 8.99 % $5,302
Saskatchewan 8.80 % $5,194
Alberta 8.74 % $5,159

Source: Effective tax rate on an employer’s payroll (%) and contributions on a yearly salary of $59,000, per province, 2022. Numbers calculated by CFIB, based on a small business with a payroll of $2.95 million/year.

Smaller businesses in construction and other services pay the same rate as multinational enterprises, i.e., 11.5% instead of 3.2%!

SMEs are being crushed by provincial taxes. For every $50,000 in profit, I pay $4,150 more than businesses with 5,500 hours paid! The labour shortage is harming my business!

SIGN THE PETITION

Ministers Pierre Fitzgibbon and Eric Girard

CC: My Member of Parliament

Quebec’s SMEs still need you! Many are still struggling with economic challenges related to the last two years of the pandemic. Furthermore, rising costs and labour shortages are hitting us hard.

Small businesses generate two thirds of private sector jobs and contribute one third of Quebec’s GDP. It is time to do more for them, especially on the taxation front.

To help our small businesses recover, grow and contribute to our economy, I am asking the government to:

  • Reduce the tax burden on SMEs;
    • Decrease payroll taxes, starting with the Health Services Fund (HSF).
    • Introduce a basic exemption to the HSF for small businesses (including self-employed).
    • Abolish the policy requiring 5,500 paid hours to be eligible for the small business deduction.
    • Continue to lower Quebec’s small business taxes to match the Canadian average of 2.4%.
    • Increase the small business deduction to $600,000 (currently $500,000), then index it to inflation.
  • Allow more time (10 or 15 years, rather than 3) for loan repayments under the Quebec government’s assistance programs (PAUPME and PACTE).