It was recently announced that the Government of Saskatchewan will be raising the amount of income a small business can make and still be taxed at the lower rate of 2% from $500,000 to $600,000.  

"There was an announcement that there would be an income tax cut," explained Jackie Wall, Executive Director for the Estevan Chamber of Commerce. "And of course, that is always great news, whether it's a personal tax cut or a business tax cut."

"I would say that anytime a business generates more revenue or saves as far as tax or expenses, that tends to go back into the business. That's how small and medium sized businesses work. They are very conscientious in growing their business, sustaining their business, and maintaining their business. Any savings that will result will probably go back directly into the business which will lead to hopefully a little bit of economic growth within our community and take a little pressure off businesses."

"I think it will have a marginal impact. Of course anytime you can earn more and pay less, that's always a good thing. And I think it also accommodates for inflation rates and for the fact that businesses need to earn more money, pay less taxes and keep up with trends in business in general."

“Small businesses are so vital to the health of the economy that our government decided to further enhance the Saskatchewan Advantage,” Finance Minister Donna Harpauer said. “Increasing the income threshold to $600,000 provides Saskatchewan small businesses with an incentive to hire more workers and invest new capital right here in our province. Meanwhile, rates for personal income tax in Saskatchewan continue to be reduced, which also helps create jobs.”

“Once implemented, Saskatchewan’s 12 per cent corporate income tax rate will continue to be competitive and among the lowest in the country, maintaining our province’s advantages when attracting new investment and jobs,” Harpauer said.

Wall added that the tax cut might lead to a growth in small businesses within the province.

"I'm really hoping that it does. I hope that it will attract more businesses or perhaps it will lead to businesses expanding in this area or perhaps contemplating moving a headquarters. You never know how far the impact will go. I'm sure the government will be on top of that and make sure they have the documentation to support what a great idea this was and to let businesses know that they are looking to support in whatever way they can."

More Local News

SaskPower Pleased With Performance Of CCS at Boundary Dam Power Station

SaskPower’s carbon capture and storage facility at the Boundary Dam Power Station had a great year in 2018, according to their vice president of power production, Howard Matthews. The facility…

Millions for Crop Research in Saskatchewan

On Wednesday, the federal Minister of Agriculture Lawrence MacAulay and Saskatchewan Agriculture Minister David Marit announced more than $12 million in funding for forty-four crop-related research…

Humane Society Receives Big Boost With $5000 Grant

The humane society has recently received a $5000 grant from the Western Financial western community foundation. Angela Prette with the humane society was extremely happy with the amount of the grant…

Bitter Winds Sticking Around

After some balmy temperatures and days to start the new year, more traditional Saskatchewan weather has moved in for the third week of January. Cold days and even colder nights with bitter winds is…

Snowplow Safety Important For Everyone

With the lack of snowfall we've seen in the southeast corner of the province, it's easy to forget about the drivers that keep the roads clear and drivers safe. Snowplow operators are often overlooked…

Accident On 13th Ave and King Street

A two-vehicle collision took place early Wednesday morning. "At approximately 7:45 this morning, a two-vehicle collision occurred at the intersection of 13th Avenue and King Street," explained…

The Difference Between Norovirus and Influenza Explained

Norovirus has been identified as the cause of a number of cases of nausea, diarrhea, and vomiting in the province. "Norovirus is a type of virus that affects the intestinal system," explained Doctor…

City's Proposed 2019 Budget Includes No Increase In Taxes Or Utility Rates

The city is planning some ambitious ideas for the proposed 2019 budget, but they won’t be including any higher taxes or utlility increases. The proposed budget was prepared by city administration and…

Pharmacies Running Out Of Flu Vaccine

It’s been a tough flu season in Canada and now some pharmacies in the Estevan area have been running out of the flu vaccine. Jeff Hilderman at the Estevan Pharmasave has seen his pharmacy run out of… is Estevan's only source for community news and information such as weather and classifieds.

Search the Biz Guide