Halifax, November 4, 2024 – As Nova Scotians head back to the polls, small businesses are looking to provincial party leaders to not leave them in the rearview mirror.
“Costs are rising, demand is falling, and labour shortages are costing Nova Scotia’s small businesses $1 billion in missed business opportunities. Small businesses are concerned about the financial health of their business and hope to see proposals to make the province an affordable place to do business,” said Duncan Robertson, Senior Policy Analyst at the Canadian Federation of Independent Business (CFIB).
According to CFIB, lowering the small business tax rate could be one way to give small businesses room to breathe. The Federation estimates that lowering the small business tax rate from 2.5% to 1% could save each small business in Nova Scotia up to $7,500.
“Savings from tax reductions do not go into the back pockets of small business owners, they go right back into their business and our communities. Close to two-thirds of small businesses in our province would put those savings toward increasing employee compensation, and over half would pay down debt or consider expanding,” added Robertson.
In addition to improving the tax environment for small businesses, party leaders can introduce policies such as:
“Small businesses in our province are resilient, and there is no doubt they will do whatever it takes to keep their doors open and support their community. What party leaders can do this election is show some kind of sign that they understand the challenges facing small businesses and introduce policies that give them some room to catch up, keep up, and ultimately get ahead,” Robertson said.
For media enquiries or interviews, please contact:
Duncan Robertson
Senior Policy Analyst
(902) 580-4538
Duncan.Robertson@cfib.ca
Methodology
The data referenced in this news release was gathered through the June Your Voice 2024 CFIB online, controlled-access survey – Final Results, Active dates: June 6-19, 2024. Results based on responses from 139 CFIB members who are owners of Canadian independent businesses, from all sectors and regions of the country. For comparison purposes, a probability samples with the same number of respondents would have a margin of error of +/- 2.17%, 19 times out of 20.
Reductions in the Small Business Tax Rate (SBTR) calculations are based on data provided in Nova Scotia’s 2024-2025 Budget. The tax base subject to the SBTR, determined through 2024-2025 budget data, are multiplied by the current and hypothetically lowered rate to determine revenue loss.
About CFIB
The Canadian Federation of Independent Business (CFIB) is Canada’s largest association of small- and medium-sized businesses with 97,000 members across every industry and region, including 10,200 in Atlantic Canada. CFIB is dedicated to increasing business owners’ chances of success by driving policy change at all levels of government, providing expert advice and tools, and negotiating exclusive savings. Learn more at cfib.ca.