Canadian Veterinary Medical Association Joins Coalition to Oppose Proposed Federal Tax Changes for Small Businesses
September 8, 2017
The Canadian Veterinary Medical Association (CVMA) has joined the Coalition for Small Business Tax Fairness that opposes the federal government’s tax proposals that would dramatically change the way incorporated small businesses are taxed in Canada.
The CVMA, along with 57 other like-minded business groups, wish for the government to take the current proposals off the table and to consult with the business community to identify other solutions that do not unfairly target small business owners.
It’s important to note that the government has not created new legislation yet, though they have shared draft legislation as part of the consultation package. There is still time to influence the eventual legislation before it is introduced in the House of Commons in the fall or winter.
In July 2017, Federal Finance Minister Bill Morneau announced
next steps to closing certain tax loopholes.
The Department of Finance Canada released a paper detailing the changes and has invited affected business communities, provincial and territorial governments, tax advisors, commentators and other Canadians to share their views and ideas about the proposals to address the tax planning strategies discussed. See details of the consultation here
. Consultation closing date: October 2, 2017.
The three areas of focus for the government in this consultation are:
- Income sprinkling;
- Holding passive investments inside a private corporation; and
- Converting income into capital gains.
Please read an article
from the Canadian Federation of Independent Business (CFIB) for more information.
Ultimately, these proposals will impact veterinarians at all stages of their careers.
What Can You Do?
The CVMA advises veterinarians with businesses to work closely with accountant professionals to understand the implications to your individual situation.
If you as a veterinarian share our concerns of the process, or the possible changes, here are some ways to ensure your voice is heard.
- Sign the Action Alert created by CFIB and fax it into them.
- Write the federal government directly to share your views on how these proposed tax changes will hurt your business: email@example.com.
- Use the letter template provided below to save and send as an e-mail or place in the mail. The postage of letters to your MP’s Parliament Hill office is free. We encourage you to also set up a meeting with your local MP to express your support in person.
- Download the letter template (when sending the letter, please include your postal code to ensure a response)
- Find your local MP here or call 1-800-622-6232 to find his or her contact information.