October 16, 2017

Federal Liberals to unveil tax plan adjustments, a positive reset says CATA


Ottawa, ON…
CATAAlliance, Canada’s One Voice for Innovation lobby group, has alerted its community to planned federal liberal tax plan adjustments in response to its lobby campaign calling for a reset of the government’s agenda for business growth.

The organization, which lobbies Canada’s governments to enact policies that improve innovation, launched (in September) a campaign called “press the reset button” aimed at encouraging the Liberal party to develop new regulations that will boost Canada’s competitiveness, entrepreneurship and innovation leadership.

CATA CEO, John Reid said, “ Changes will be announced throughout the week, beginning today with  “income sprinkling,” which allows business owners to split their income among family members and lower their income tax rate. It will be important to learn of all the changes before we offer further feedback and guidance. Overall we are pleased with the government’s responsiveness. ”

The RESET

  • a lowering of the small business tax rate (from 10.5 to 9 percent)
  • new parameters for proposed restrictions for income sprinkling, notably that business owners can prove that they are splitting their income with family members who actually work in the business
  • new parameters for the treatment of  passive investment in private corporations
  • recognition of the value of angel and VC investing
  • revised drafting of legislation with a view to simplification and clarity

Reid, concluded,  “ Based on this reset, we can look at things dispassionately, sit down, both sides of the table, and work out a new, appropriate tax regime that is good for Canada based on what our costs are. We have a real upside. We applaud the government’s responsiveness to community guidance. ”

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The Canadian Advanced Technology Alliance (CATAAlliance) is Canada’s One Voice for Innovation Lobby Group, and is crowdsourcing ideas and guidance from thousands of opt in members in moderated social networks in Canada and key global markets. (No Tech Firm Left Behind)

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Contact: CATAAlliance CEO, John Reid at email jreid@cata.ca, tel: 613-699-8209, website: www.cata.ca, tags: Innovation. Leadership, Entrepreneurship, Advocacy