After consulting with many sectors across the province of Saskatchewan, it has become clear that I, on behalf the Saskatchewan Liberal Party, must ask that you take sober second-thought to your proposed federal tax policy.
As you are aware, my province is an agriculture hub, not only for Canada, but for the world. Hard working Saskatchewan farmers – my neighbours – are going to be penalized for the generational transfers of their farm businesses. Instead of investing in inputs and machinery, they will be forced to pay the government an exorbitant amount of tax, simply for passing their farms to the next generation. In Saskatchewan, we value our farm families and their contributions to our local and provincial economy.
In Saskatchewan, our business leaders, the ones that I’m hearing from on a regular basis, are making me aware that they’ll be hurt in a significant way if your proposed tax legislation comes to pass. As someone who believes in our business community, I must ask you again to refrain from penalizing Saskatchewan businesses. We are a sparsely populated province, and these local family run businesses are the main drivers in our rural communities.
The tax policy you’re proposing will have the effect of encouraging entrepreneurs, manufacturers, service providers, and businesses of all kinds to look to places outside of their home communities that will be more beneficial for their bottom line. I, along with the Saskatchewan Liberal Party, want to be clear that we cannot support tax policy that takes jobs, opportunity, innovation and success out of our province.
The current tax tools afforded to small and medium-sized businesses serve as an opportunity to “save for a rainy day,” or, in other words, carry these businesses through tough economic times. It’s with tools like these that farmers can weather the storms, manufacturers can invest in cutting edge and competitive equipment, and businesses can invest in their communities.
Once again, I ask you to reconsider this proposed tax policy and the far reaching effects it will have on small business throughout Saskatchewan.
Interim Leader, Saskatchewan Liberal Party