London Chamber Urges Next Ontario Government to Refrain from Tax Hikes on Business
The London Chamber of Commerce with the Ontario Chamber of Commerce calls on all political parties to commit to no new business tax hikes should they be elected on June 2nd.
“With businesses still feeling the impacts of the pandemic, it is crucially important that business have predictability and stability at this time,” says Graham Henderson, London Chamber of Commerce CEO. “By committing to imposing no new tax hikes on business, the next government of Ontario can help to provide the stability we need for economic growth.”
Recently, the Ontario Chamber of Commerce released its election priorities document, Vote Prosperity. The document calls for the next government to look for alternatives to further taxation such as tackling the underground economy, entering private-public partnerships, expanding alternative service delivery, and exploring innovative financial models.
One example of a business tax hike that is scheduled to occur on March 1, 2023, if not deferred by the next Government is Ontario’s basic beer tax. This annual escalator tax (a tax that increases yearly without needing to be debated in legislature), has been deferred since 2018 but is scheduled to resume in 2023. If resumed, this tax will not only affect brewers of every size, but also every bar and restaurant putting further strain on the hospitality industry and on consumers.
At a time when business can least afford new tax increases, we urge the next government to instead seek out alternative and creative long-term solutions that support our economy.
Backgrounder: Vote Prosperity
As outlined in OCC’s election priorities document, Vote Prosperity, parties should be focused on policies that result in more prosperous communities, improved business confidence, high-quality jobs, and a more resilient economy. This requires:
- Boosting confidence and predictability by modernizing regulation, committing to meaningful consultations, and developing a long-term plan to tackle Ontario’s debt without increasing taxes or cutting valuable programs and services.
- Implementing pro-growth policies through helping businesses access the capital, markets, and talent they need to grow.
- Building resilient communities by bolstering health care capacity, addressing climate change, and bridging our infrastructure gaps, including housing.
- Supporting entrepreneurship and innovation with targeted supports and a bold approach on technology adoption and data innovation.