On Parliament Hill

October 15th-19th was Small Business Week in Canada. It is an annual celebration of the contribution small businesses make to our economies and our communities.

It’s certainly not an exaggeration to call small business the backbone of our Canadian economy as over 8 million people are employed by small businesses across the country.

It was the previous Conservative government that lowered the small business tax rate from 12% to 11%, with further plans to reduce it down to 9%. During last year’s election campaign, the Liberals promised to follow-through with our plan.

However, small business owners and entrepreneurs were shocked when the Liberals abandoned this promise in their first budget. The failure to follow through with the reductions to the small business tax rate will have a tremendous negative effect on our economy. It will kill jobs and reduce Canada’s real GDP by $300 million, costing small businesses $2.15 billion over five years.

On top of this, the Liberals new CPP tax hike will further hurt small businesses and working Canadians by significantly raising CPP contribution levels for both. This tax hike will cost a family with two working parents as much as $2,200 a year and the employer an equivalent amount for each employee. Businesses will have no choice but to pass on THEIR EXTRA COSTS to consumers, further fueling a downward economic spiral.

Justin Trudeau has apparently never met a tax or a deficit he didn’t like. With no plan to eliminate the deficit, let alone tackling Canada’s national debt, Mr. Trudeau has guaranteed that our economy will remain sluggish for the foreseeable future. His out of control spending stifles entrepreneurship and creates a hostile environment for small businesses.

It is clear that Canadians have no reason to trust the Liberal Government when it comes to Canada’s economy. During Small Business Week, and indeed ALL YEAR LONG, Conservatives will continue to urge the Liberals to stop raising taxes on small businesses and job-creators in Canada.