TORONTO, Feb. 11, 2014 /CNW/ - Canada's small business owners welcomed
several measures from today's federal budget, particularly efforts to
eliminate the deficit, reduce credit card processing fees for merchants
and consumers and cut the cost of the public service. "Small business
owners know that today's deficits are tomorrow's taxes, so they are
pleased the government's commitment to a balanced budget in 2015
remains solid," said CFIB president Dan Kelly.
There were several small business-friendly changes in the 2014 budget,
Committing to help in reducing credit card processing fees for merchants
and improving the Code of Conduct;
Confirming freezes in both Employment Insurance and Canada Pension Plan
Accepting CFIB's recommendations to cut red tape by allowing more small
firms to remit source deductions less frequently;
New approaches to workplace training, loans for apprentices and
internships in small business; and
Further actions to restrain public sector compensation, reform sick
leave provisions and reduce the cost to taxpayers of government retiree
"We are very pleased that the budget states further steps will be taken
to reduce credit card processing fees for merchants and the dearth of
information for consumers," Kelly said. "CFIB has been working hard to
push for measures to reduce the $5-7 billion cost of credit card
processing and to end the 'arms race' of ever-higher tiers of high-cost
Small Business Taxes
"As many small business owners who pay themselves in dividends will be
hit hard in 2014 by last year's changes to the dividend tax credit,
CFIB is relieved the government is promising further tax reductions for
small business once the budget is in balance," Kelly noted.
Hiring Credit Eliminated
"While small firms recognize the government froze Employment Insurance
premiums for 2014, CFIB is also disappointed with the elimination of
the Hiring Credit for small business," Kelly said. "We urge government
to move quickly to reduce EI premiums as soon as the account is back in
balance," Kelly added.
Cross Border Pricing
"While there were few big surprises in the 2014 budget, CFIB is pleased
that government remains on course to eliminate the deficit next year,"
Kelly said. "With a soft economy, we will be lobbying hard for tax
reductions, such as a cut in the small business corporate tax rate, in
advance of the 2015 budget. We will also continue to monitor new
proposals, like legislation on cross-border pricing, to ensure the
interests of independent businesses are protected."
CFIB is Canada's largest association of small and medium-sized
businesses with 109,000 members across every sector and region.
SOURCE Canadian Federation of Independent Business