Canada Revenue Agency

Canada Revenue Agency

April 25, 2014 14:13 ET

M.P. Keddy Highlights Harper Government Support for Local Small Businesses and Tradespersons

BEDFORD, NOVA SCOTIA--(Marketwired - April 25, 2014) - Canada Revenue Agency

On behalf of the Honourable Kerry-Lynne D. Findlay, P.C., Q.C., M.P., Minister of National Revenue, Gerald Keddy, M.P., Parliamentary Secretary to the Minister of National Revenue, and for the Atlantic Canada Opportunities Agency met today with members of Merit Nova Scotia, a provincial organization open shop contractors in Nova Scotia, to highlight the Government of Canada's support of small and medium businesses through job creation and support for skilled tradespersons and apprenticeships.

Our Government is supporting small businesses in building a skilled workforce by giving them the tools they need to hire new apprentices in eligible trades. This includes introducing a number of important new measures since 2006, including the apprenticeship job creation tax credit, the apprenticeship incentive grant, and the apprenticeship completion grant. Skilled tradespersons and apprentices receive additional tax relief through the tradesperson's tools deduction. In Economic Action Plan 2014, we reinforced our commitment to the next generation of skilled Canadian workers by introducing the Canada Apprentice Loan. This initiative will provide apprentices registered in Red Seal trades with access to over $100 million in interest-free loans each year, to help cover the cost of their training

Since 2006, our Government has introduced dozens of measures to reduce the red tape burden on small businesses. M.P. Keddy highlighted several service enhancements for businesses that the Canada Revenue Agency (CRA) is now implementing. For example, as of April 2014, corporations can file amended T2 income tax returns using commercial tax preparation software, and taxpayer representatives can submit an authorization request (Form RC59) online on behalf of the businesses they represent. In October 2014, the CRA is launching a new service that will allow businesses to manage their banking and direct deposit information online. The Government is also revising remittance thresholds for employer source deductions, a key red tape reduction measure that will reduce the number of payments that businesses have to prepare and submit to the CRA.

Quick facts

• Merit Nova Scotia is an organization of 135 construction business owners and contractors in Nova Scotia who are involved in many different segments of the construction industry.

• For the past 20 years, Merit Nova Scotia has served small and medium-sized construction businesses seeking fair opportunities to compete and do business in Nova Scotia.

• Close to 2.7 million logins were made to My Business Account between April 2012 and March 2013. The number of businesses that are enrolled in My Business Account and have a business number has more than doubled in the last three years.

• In October 2014, the first free online option for paying taxes will be available for business owners registered with My Business Account. A detailed payment history for all of their accounts will also be available in one secure and convenient place.

• The apprenticeship job creation tax credit encourages employers to hire new apprentices in eligible trades by providing a non-refundable tax credit equal to 10% of the eligible salaries and wages payable to eligible apprentices hired after May 1, 2006. The maximum credit an employer can claim is $2,000 per year for each eligible apprentice.

• For 2012, more than 13,700 employers reported apprenticeship job creation tax credit amounts worth over $77 million.

• The tradesperson's tools deduction allows employed tradespersons and apprentice mechanics to deduct from their income part of the cost of tools purchased throughout the year, up to $500.

• Economic Action Plan 2014 will simplify tax rules for the lifetime capital gains exemption when certain individuals operate both farming and fishing businesses, to allow for more consistent treatment.

Quotes

"Our Government is supporting small and medium businesses across the country and cutting red tape so they can focus on what they do best: create jobs and grow our economy. Based on feedback from businesses, we continue to add features to our online services. For example, we recently expanded the filing option to allow businesses to file amended T2 corporation income tax returns online-meaning less paperwork."

Gerald Keddy, MP,
Parliamentary Secretary to the Minister of National Revenue, and for the Atlantic Canada Opportunities Agency

"Our Government recognizes that tradespersons face unique challenges when it comes to running their businesses. Through tax credits, grants, and support for training programs, we are encouraging apprenticeships and careers in the skilled trades. Since 2006, we have introduced measures, like the Canada Apprenticeship Loan, tradesperson's tools deduction and the apprenticeship job creation tax credit, to help them build a strong foundation for their businesses."

The Honourable Kerry-Lynne D. Findlay, P.C., Q.C., M.P.
Minister of National Revenue

Related products

Economic Action Plan 2014 (http://www.budget.gc.ca/2014/home-accueil-eng.html)

Associated links

Red Tape Reduction (http://www.cra-arc.gc.ca/redtapereduction/)

My Business Account (http://www.cra-arc.gc.ca/mybusinessaccount/)

Apprenticeship Job Creation Tax Credit (http://www.cra-arc.gc.ca/tx/ndvdls/tpcs/ncm-tx/rtrn/cmpltng/ddctns/lns409-485/412/jctc-eng.html)

Apprenticeship Grants (http://www.servicecanada.gc.ca/eng/goc/apprenticeship/index.shtml)

Tradesperson's Tools Deduction (http://www.cra-arc.gc.ca/tx/ndvdls/tpcs/ncm-tx/rtrn/cmpltng/ddctns/lns206-236/229/trds/menu-eng.html)

Merit Nova Scotia (http://meritns.com/)

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Contact Information

  • Rebecca Rogers
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    Office of the Minister of National Revenue
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    Noel Carisse
    Media Relations
    Canada Revenue Agency
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