 |
British Columbia offers one of North America’s most competitive business climates — low tax burdens, a minimum of red tape, and a supportive, financially responsible government.
The provincial government has introduced dramatic changes designed to strengthen the economy and make British Columbia the best place to invest in North America.
- B.C. residents with annual incomes up to $116,000 pay the
least income tax in Canada. Personal income tax cuts since
2001 total more than one-third.
- Since 2001 the general corporate income tax rate has fallen one-third to 11 percent (effective July 2008) — lower than our major competitors in Canada and the U.S. The federal corporate tax rate of 19.0 percent is scheduled to decline to 15 percent by 2012— lowest in the G7.
- BC has no general corporation capital tax, employer payroll taxes, franchise tax, or machinery sales tax.
- BC provides refundable tax credits and exemptions for software development, manufacturing, mining, oil and gas, film and TV production, new media and international financial activities
Business tax burdens British Columbia
are now among the lowest anywhere in North America, and
our personal tax rates are competitive.
|
Top Marginal
Corporate Income Tax rates (2009) |
| British Columbia |
30.00% |
| Ontario |
33.00% |
| Quebec |
30.90% |
| California |
40.70% |
| Washington |
35.00% |
| Oregon |
39.30% |
PriceWaterhouseCoopers Tax Facts and Figures for Individual and Corporations: Canada 2008.
BC Budget, February 17, 2009.
Federal Budget, January 27, 2009.
|
Top Marginal
Personal Income Tax rates |
| British Columbia |
43.70% |
| Ontario |
46.41% |
| California |
44.30% |
Source: PricewaterhouseCoopers, Tax
Facts and Figures, 2008
- Employment Standards legislation allows employers and employees to develop mutually beneficial shift schedules outside the standard 8-hour day or prescribed shift rotations.
- 42 percent of all provincial regulations have been eliminated since 2001, substantially reducing compliance costs for business.
- Streamlined provincial permitting and licensing requirements to help accelerate major resource and resort developments.
To maintain a competitive tax system and
provide high quality public services and infrastructure,
the British Columbia’s government is committed to
responsible fiscal management.
-
British Columbia’s debt burden is among the lowest in Canada, behind only Alberta. Since 2003/04, we have reduced the operating debt from a high of $15.7 billion to $6.4 billion in 2008/09 — a reduction of $9.3 billion dollars or almost 60 percent. The B.C. government is committed to keeping the debt affordable and managing its liabilities conservatively. Recent changes
to provincial legislation require a return to a balanced budget in 2011/2012.
- Moody's and Standard & Poor’s -the leading bond rating agencies in the world - rate British Columbia as
AAA (the highest rating).
- BC’s Major Projects Inventory contains 835 projects, underway and proposed, involving capital investment exceeding $150 billion (December 2007).
- Between 2008 and 2011 the province anticipates transportation infrastructure investments of $3.0 billion including roads, bridges, border crossing infrastructure, rapid transit, airports and port development.
- British Columbia’s Public Transit Plan calls for investments totalling $14 billion to 2020 in new rapid transit lines, energy efficient RapidBus services and purchases of 1500 clean energy buses. The plan touches every region of the province and is a key measure for reducing greenhouse gas emissions.
- $228 million has been allocated to government funded arts and culture initiatives over four years.
- $109 million is committed over four years to economic development initiatives. $40 million is for promoting, expanding and servicing investment, trade and culture links between BC and Asia Pacific countries.
Balanced Budget 2008 delivers, over four years, $428 million in new investments and an additional $407 million in tax reductions to enrich our communities, improve British Columbia’s competitiveness, and build on our economic strengths. For example:
- $112 million to enhance the basic and regional film tax credits to support B.C.’s film industry;
- $220 million to phase out the existing capital tax on financial institutions and replace it with a minimum tax;
- $60 million to reduce the school tax rate for major industrial properties to reflect the competitive pressures facing B.C.’s export sector; and,
- $60 million to support research and innovation through GenomeBC and to upgrade and expand Science World;
- $30 million to endow the Terry Fox Research Centre, to be headquartered in B.C., for translational research to help in the fight against cancer;
- $7 million to expand the Provincial Nominee Program and attract more skilled workers and entrepreneurs to British Columbia;
- $5 million to enhance the Skills Connect for Immigrants and International Qualifications programs to connect skilled immigrants with employment opportunities;
- $183 million in economic investments are being made as part of the $1 billion in new funding for climate action initiatives
|
|
