Restaurants like this one in Victoria are getting by on mostly take-out business as winter closes in, and some tourism-dependent businesses have already shut down for good. (Tom Fletcher/Black Press)

B.C. VOTES 2020

B.C. Liberals offer bridge financing, no more small business tax

Tourism, hospitality companies may close by Christmas

B.C. Liberal leader Andrew Wilkinson has added to his tax incentive program with a vow to provide bridge financing to fading small businesses and permanently eliminate their business income tax.

The extra relief is urgently needed for tourism and hospitality-related businesses who are saying they will decide by Christmas whether they can carry on in 2021, Wilkinson said at an independent clothing retailer in Delta Oct. 8. He promised a loan guarantee program to help small tourism and hospitality firms keep bank financing going as they struggle through the COVID-19 pandemic.

Timing of the loan guarantees depends on the Oct. 24 election being resolved and a new government being in place once a record number of mail-in ballots are counted, Wilkinson said.

“We have to be able to tell them, let’s plan for a vaccine,” he said. “Let’s plan for a return of international tourism. Let’s plan for the U.S. border opening again, so that those hotels in Victoria can have customers, so those tourism operators in the Georgia Strait can do whale watching again, so that people in the Interior can reopen the fishing camps.”

The small business income tax is currently set at two per cent, a reduction from 2.5 per cent that both the B.C. Liberals and NDP promised in the 2017 election. Former finance minister Carole James made good on that promise, retroactive to April 2017, and raised the large corporate income tax rate from 11 to 12 per cent to make up revenue to the province.

RELATED: NDP matched small business tax cut promise in 2017

RELATED: Cut sales tax, boost daycare, Business Council says

Wilkinson noted that Manitoba eliminated its small business income tax a decade ago. He said the current tax takes in about $220 million in a pre-pandemic B.C. economy, and while greatly diminished this year and likely in 2021, forgoing the provincial income is worth it to “turbocharge” the recovery.

The B.C. Liberal promise continues an election theme where the NDP offers direct payment to individuals and their main opponents offer assistance through the tax system. NDP leader John Horgan said this week his plan to send another round of $1,000 pandemic assistance payments to families earning under $125,000 was a direct response to Wilkinson’s offer of a year-long elimination of the provincial sales tax.


@tomfletcherbc
tfletcher@blackpress.ca

Like us on Facebook and follow us on Twitter.

BC politicsBC Votes 2020

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

Nelson-Creston Green Party candidate Nicole Charlwood speaks during the Creston Valley Chamber of Commerce’s all-candidate virtual forum on Oct. 21. Photo: Aaron Hemens
Creston Valley Chamber of Commerce hosts all-candidates virtual forum

More than 30 people tuned into the two-hour webinar, which saw nearly 20 subjects explored

Environment Canada has issued a snow warning for the Kootenays on Friday. File photo
Environment Canada issues snow warning for Friday

Two-to-10 centimetres is expected to fall

Terry Tiessen is the B.C. Libertarian Party candidate for Nelson-Creston. Photo: Submitted
ELECTION 2020: Terry Tiessen

The third of four interviews with the Nelson-Creston candidates

COVID-19 test tube. (Contributed)
test tube with the blood test is on the table next to the documents. Positive test for coronavirus covid-19. The concept of fighting a dangerous Chinese disease.
Interior Health launches online booking for COVID-19 tests

Testing is available to anyone with cold, influenza or COVID-19-like symptoms

Touchstones Museum has opened up Nelson’s Cold War bunker to the public. The unique exhibit includes artifacts from the 1950s and 60s. Photo: Tyler Harper
Take cover! Cold War bunker opens to public in Nelson

The shelter was built in 1964 in case of nuclear fallout

Provincial health officer Dr. Bonnie Henry presents modelling of COVID-19 spread in B.C., March 25, 2020. (B.C. government photo)
B.C. sets another COVID-19 record with 203 new cases

up to 1,766 active cases in B.C., two more deaths

RCMP. (Phil McLachlan - Black Press Media)
British Columbia man dies during ski trip near glacier west of Calgary

Kananaskis Public Safety and Alpine Helicopters responded around 2:30 p.m.

Prime Minister Justin Trudeau arrives on Parliament Hill in Ottawa on Monday, Oct. 19, 2020, following a week-long break for the House of Commons. THE CANADIAN PRESS/Sean Kilpatrick
One crisis after another for Trudeau since last federal election one year ago

It has been a year of unprecedented calamity and crisis

Is it time to start thinking about greener ways to package cannabis?

Packaging suppliers are still figuring eco-friendly and affordable packaging options that fit the mandates of Cannabis Regulations

Join Black Press Media and Do Some Good

Pay it Forward program supports local businesses in their community giving

Rio Tinto Alcan’s aluminum smelter at Kitimat competes against producers in the Middle East and Russia that have no carbon tax. (Rio Tinto)
B.C. carbon tax highest in Canada, export industries unprotected

B.C. NDP, B.C. Liberals say they’re looking at exemptions

(Pixabay)
Vancouver teacher suspended after swearing, touching students and complimenting underwear

McCabe touched students, including rubbing their backs and necks, touching their hair and hugging them

Jack Vellutini, 100, is still making sweet music. Photo: Submitted
Music stirs memories as Trail serenader nears 101st birthday

Jack Vellutini gave his brass instruments to Trail up-and-comers so the legacy of music can live on

Most Read