(Feb. 8/16) New Brunswick has introduced its new budget, and the news isn’t good. Restaurants Canada warns the budget will make it harder for restaurants to compete against grocery stores, and will leave consumers with less money to spend in your restaurant.
We’re disappointed that, despite two years of budget cuts followed by the province’s announcement of significant tax increases, the deficit will remain virtually unchanged.
Here’s what you need to know about New Brunswick’s budget:
- The HST will increase to 15% on July 1, 2016. This will boost the province’s HST to the same level as Nova Scotia’s.
- The general corporate income tax rate will increase to 14%, which matches the rate in Newfoundland and Labrador, while remaining lower than the 16% rate in NS and PEI.
- While there was no change in the small business tax rate, we expect the government will fulfill their election promise soon by reducing the small business rate to 3.5%.
Restaurants Canada members: If you have questions about the budget, please contact Paul McKay on our Member Services Team at firstname.lastname@example.org, or Luc Erjavec at email@example.com.
Not a member? Join online now, or call our membership team at 1-800-387-5649.
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