LET’S BE FAIR!
The Trudeau government is changing the income tax laws in Canada to hit small business – and it will hit hard! They say they are closing “loopholes”. Small businesses are “tax cheats”. We should pay “the same as everyone else”.
These words are not only wrong – they are disrespectful of the contributions that small businesses make and have made toward building Canada into what it is today – the greatest country in the world.
Small business people are the innovators, the investors, the builders and the risk takers who create the jobs, the prosperity and the taxes that allow government do its necessary work. Small business creates 75 to 80 % of the jobs in Canada.
But not all businesses succeed. Some Fail. For those that persevere, it is not uncommon that in the early years of a new business, the profits are slim to non-existent, that payroll is met for all employees except for one guy – the owner. Even for an established business, it is normal that all employees get benefits such as sick time and vacation except for one guy – the owner. And its normal that all employees get pension benefits(if the business can afford to offer them) except for one guy – the owner.
The owner gets everything that is left. But that wonderful basket of benefits is sometimes not very full or is barely adequate to provide benefits and a pension to the owner “the same as everyone else”.
Small business owners have obeyed the law and played by the “Rules”. They have planned, worked hard and saved as best they can to provide themselves with the benefits that they need to live and retire “the same as everyone else”. They did this in good faith based on the “Rules” that the government gave them.
These “Rules” were created by many thoughtful people several decades ago based on the understanding that small businesses are the backbone of the economy of Canada. These people believed that government had a responsibility to the people of Canada to write tax laws – “Rules” – that would provide small businesses with the freedom and opportunity to thrive. In other words – that government would respect small businesses as the innovators, investors, builders and risk takers that built Canada. And they will continue to build Canada! If we treat them “the same as everyone else”.