Canada: Reduced small business rate in Ontario for 2018 | KPMG | GLOBAL
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Canada: Reduced small business rate in Ontario for 2018

Canada: Reduced small business rate in Ontario for 2018

Ontario’s Minister of Finance announced a reduction in the small business tax rate to 3.5% (from 4.5%) effective for 2018 and increases the non-eligible dividend tax rate for individuals. In addition, the update introduces new apprentice training grants and incentives for hiring young workers, among other changes.


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These corporate tax changes appear intended to help businesses offset the upcoming increase to the minimum wage that is expected to rise to $14.00* (from $11.60) on 1 January 2018 and to $15.00 on 1 January 2019.


Read a November 2017 report prepared by the KPMG member firm in Canada

*$ Canadian dollar

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