As of January 1st, the Small Business Tax Rate will drop yet again from 10% to 9%, giving Canada one of the lowest Small Business Tax Rates in the world and providing up to $7500 in savings for small business owners a year.
Small businesses make up 98% of all Canadian businesses and employ 8 million hard-working Canadians from coast to coast to coast.
They are the restaurants, stores and services we love, as well as the high-growth companies that are innovating across sectors and creating middle-class jobs.
As a small business–friendly government, we’re working hard to reduce red tape and make it easier to do business by:
o Lowering the small business tax rate to 9%—one of the lowest rates in the world
o Getting credit card companies to lower the fees they charge businesses when their customers use credit cards, saving thousands of dollars for small business owners
o Giving small business owners opportunities to start up, scale up and access new markets through programs that offer funding, debt relief, advice and paid internships
o Launching an export diversification strategy, with the target of increasing Canada’s overseas exports by 50%
o Providing access to over a billion and a half new customers through trade deals like CETA, CPTPP and the USMCA
Because our government believes that diversity is our strength, we also have programs specifically designed to help those traditionally under-represented in our economy—like women, youth and Indigenous people—succeed.
And to make it as easy as possible for small business owners to find the government programs and services they’re eligible for, we launched Innovation Canada, a website that’s fast and easy to use.