NDP low key on proposed federal tax changes

CALGARY Alberta’s NDP government is taking a muted approach to proposed federal tax changes that have prompted some other provinces to take aim at the Trudeau government.

Manitoba Premier Brian Pallister is the latest addition to a chorus of complaints from a variety of sectors about proposed tax reforms designed to eliminate several tax incentives for private corporations.

Pallister’s intervention came as the Canadian Federation of Independent Business lobby group called Friday for all provincial premiers to join a campaign against the tax proposals.

Alberta Finance Minister Joe Ceci was not made available for an interview, however.

In a statement put out by the government in response to the CFIB release, Ceci said he encouraged all Albertans, including entrepreneurs, to give their feedback to federal Finance Minister Bill Morneau.

“Our government stands with small business as our economic recovery continues to strengthen. Alberta is recovering from the worst recession in a generation,” Ceci said. “The federal government, and all governments, need to be thoughtful and prudent on any tax changes to ensure it does not dampen the recovery.”

Morneau and Prime Minister Justin Trudeau have argued that the tax system unfairly encourages wealthy Canadians to incorporate so they can get a better tax rate than middle-income earners.

They say the changes are meant to end tax advantages that some wealthy business owners have unfairly exploited and to ensure all Canadians have a level playing field.

But the moves have angered some small-business owners, doctors and farmers who argue that the tax incentives targeted by the Liberals are critical for the Canadian economy. They insist the current tax structure is necessary for entrepreneurs, including those in the so-called middle class, who take personal financial risks when they decide to open a company.

Other provinces also raised concerns about the tax reforms Friday, with Nova Scotia Premier Stephen McNeil saying it could hurt his province while British Columbia’s finance minister, Carole James, said Ottawa hadn’t consulted enough.

The Notley government’s relative quiet has prompted criticism from the United Conservative Party.

The federal government ... all governments, need to be thoughtful and prudent on any tax changes.