New tools permit tax cuts for Alberta small businesses but impact unclear yet
New rules in the Municipal Government Act will allow local governments the ability to offer tax relief to small businesses. Many of these businesses have been hit by the economic downturn as well as tax changes, so this is one way Alberta’s cities and towns can help struggling businesses. The new rules give local governments the ability to create a small-business property tax subclass and to charge them up to 25 percent less. It isn’t mandatory, and there is plenty of flexibility for municipalities to determine what is a small business and what kind of cuts to provide.