Federal Fall Economic Update

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With this week's update by federal Finance Minister Bill Morneau, the ACC was pleased to see increased supports for small business exporters and temporary tax relief for businesses.

 

The application of tax exemptions does, however, continues to pick winners and losers. Notably, the 100% Accelerated Capital Cost Allowances does not apply to oil and gas and only to the manufacturing and processing sector. No immediate actions were announced to address the acute issues affecting regulatory uncertainty in Canada's largest economic sector.

 

Concrete action to move ahead with comprehensive tax reform to address broader, systemic issues of Canada's tax competitiveness vis-à-vis US tax reform were also not addressed. While there were some short-term or small wins with the announcement, the ACC continues to be concerned about the federal governments use of evidence-based decisions to develop economic policy in the national interest.

Notable Policy :

·    Royal Commission (2017) 

·     Applying the Accelerated Capital Cost Allowance for Oil Sands, Upgrading and Petrochemical Industries (2016) 

·     Promote Agribusiness Growth Opportunities by Reducing Barriers to Interprovincial and International Trade (2017) 

·     Accelerating Foreign Direct Investment (2016) 

·     Considering the Layered Costs of Government Policies (2018) 

·     Managing Impacts of Layered Legislation (2018) 

·     Market Access for Alberta Based Energy Products (2018)


Posted on:
Friday, November 23, 2018