The Saskatchewan New Democrats promise to freeze taxes for small businesses if they are elected to form government.
The Saskatchewan New Democrats promise to freeze taxes for small businesses if they are elected to form government.
“Too many small business are struggling to get by,” said Young, who is a small business owner herself.
She said the proposed freeze would be in place for four years, while accusing the Saskatchewan Party of planning to double small business taxes if re-elected.
“It’s the last thing that they need right now,” she said.
In an emailed response, the Sask. Party said Young was mischaracterizing its position. The party said in 2020 the small business tax rate of two per cent was temporarily suspended to one per cent, a measure that was renewed in 2022 and again in the most recent budget.
“The temporary reduction was extended once again and is scheduled to remain at one per cent until June 30, 2025,” the statement concluded.
The Sask. Party said it will release its small business platform later in the week.
The Ministry of Finance’s most recent numbers indicate more than 98 per cent of businesses in the province fall into this category. The most recent available numbers, from 2022, found 24 per cent of the province’s gross domestic product was generated by small businesses, which employed 31 per cent of the overall workforce.
Miranda Van Young, one of the owners of Alt Haus Interior Designs, which hosted the NDP news conference, said she and her business partner opened right before the COVID-19 pandemic, which was a challenge. The economic climate has continued to be challenging, she said.
“Everything’s just more expensive than it used to be and people have less disposable income.”
Taking questions from media, Young agreed businesses are facing inflationary pressures not related to taxes. Freezing taxes would be helpful because the government would not be “piling on,” she said.
“We’ve seen this government increase power bills three times in a single year, (and) add PST to everything from essentials like gas and groceries, which impacts businesses’ bottom lines, impacts consumer confidence,” she said.
Young said the NDP is also committed to bringing together a small business roundtable to address challenges, “So we can come up with a real plan to address labour force challenges and also build a strong and diversified economy here in Saskatchewan.”
Young made the announcement at a podium with a sign reading ‘We Will not Raise Taxes Period.’
The promise comes alongside campaign commitments to improve health care and education in the province. Young noted the last provincial budget was a $20 billion budget for a population of 1.2 million people, which she said points to an issue not related to resources.
“We do not have a revenue problem in Saskatchewan, we have a management problem in Saskatchewan.”
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