Issue
Since corporate income tax represents a very large percentage of pre-tax income, decision- makers are highly sensitive to corporate income tax rates. It is in Alberta’s best interests to reduce and keep corporate income taxes low to attract business to Alberta and retain them in our province.
Background
Corporations seeking to expand or relocate examine many factors; often the projected “after- tax” return on investment is one of the primary considerations. Since corporate income tax represents a very large percentage of pre-tax income, decision-makers are highly sensitive to corporate income tax rates.
Our Recommendations
1. Ensure that the Alberta small business and general corporate tax rate applicable to Canadiancontrolled private corporations does not exceed the lowest tax rate in other Canadian provinces or territories.
Topic
Year
2022
Contact
If you have any questions, contact Dana Severson at dseverson@abchamber.ca or (780) 425-4180 ext. 2.