Fredericton – New Brunswick New Democratic Party Leader Dominic Cardy is calling for a 0% small business tax and the implementation of a new job tax credit (NJTC) in wake of the latest Statistics Canada figures that show a net loss of 5,400 jobs in New Brunswick last month alone.
“The numbers prove something we’ve been saying all along – the status quo is not working and we need a bold new approach if we want to get New Brunswickers working again.” Cardy said. “We need a clear plan to move this province forward in terms of job creation.”
The NJTC will provide a 15% refundable tax credit to businesses that create new jobs. Since it is refundable, it will include all companies, including start-ups, which are not yet profitable. Cardy said this approach has worked in other jurisdictions and New Brunswick needs to apply these ‘best practices’ here.
“If you look at the ten states with the lowest unemployment in the U.S., six of them have some form of new jobs tax credit,” Cardy said. “The only reason we haven’t done it here is because of the Liberal-Tory ostrich-like approach to dealing with our serious economic issues.”
Similarly Cardy believes eliminating the small business tax is crucial to spurring job growth in New Brunswick.
“We’ve seen what happens when large companies with political ties get corporate welfare – very few, if any, real jobs are created. Successful small business will create more jobs around the province if we create the environment that will help them thrive. Removing the burden of the small business tax is a big step in creating the right economic environment,” Cardy said.