Ontario budget impact
November 4, 2009
The School of Public Policy releases communiqué by Jack Mintz on Ontario’s bold move to create jobs and growth
Impact of the 2009 Ontario budget and other recent tax measures on investment, jobs and incomes
Communiqués are brief articles that deal with a singular public policy issue and are intended to provide the reader with a focused, concise critical analysis of the issue.
Dr. Jack Mintz, Director of the School of Public Policy at the University of Calgary, released the communiqué today at a press conference at Niagara on the Lake, Ontario. The communiqué documents the impact of the 2009 Ontario Budget, which announced the harmonization of Ontario’s provincial sales tax with the federal GST, as well as a reduction in corporate income tax rates. It argues that Ontario will improve its competitiveness internationally with a lower tax burden on new investment compared to the average of 20 major industrialized and emerging economies.
The following is a summary of the paper:
The 2009 Ontario Budget measures, together with other recent tax changes, will have a profound impact on Ontario’s competitiveness by lowering the tax burden on new business investment.
Within ten years, Ontario will benefit from:
- increased capital investment of $47 billion;
- increased annual incomes of up to 8.8%, or $29.4 billion; and
- an estimated 591,000 net new jobs.
The full text of the Communiqué is available at www.policyschool.ca. Click on link to publications.
