FREDERICTON (GNB) – The provincial government will continue to deliver on its commitment to lower the small business tax rate when it goes down to 3.5 per cent on April 1, said Finance Minister Roger Melanson.
“Our government committed to lowering the small business tax rate to 2.5 per cent by 2018,” said Melanson. “This is the second decrease since September 2014, bringing us another step closer to 2.5 per cent.”
Small businesses with capital assets up to $15 million will benefit from the tax reduction on the first $500,000 of corporate taxable income.
To ensure the appropriate tax treatment of dividend income, corresponding adjustments will be made to the dividend tax credit rate for dividends paid from income taxed at the small business rate.
These changes will make it easier for New Brunswick small businesses to remain competitive in today’s global marketplace, the minister noted.
“Everyone has a role to play in moving New Brunswick forward,” said Melanson. “We need to invest more in our people, our small businesses and our communities. These changes are an important step to make that happen.”
01-04-16