Close X
Tuesday, November 5, 2024
ADVT 
National

B.C. Businesses Say New Health Tax Will Raise Prices For Consumers

The Canadian Press, 22 Feb, 2018 01:16 PM
    VANCOUVER — Small business owners in British Columbia say a new health-care payroll tax will result in higher prices for consumers as companies struggle to absorb the cost.
     
     
    The NDP government announced in this week's budget that it would be phasing out medical services premiums by 2020 and instead will have an employer health tax of 1.95 per cent for companies with a payroll tax over $1.5 million.
     
     
    Eric Pateman, president of the Vancouver restaurant Edible Canada, says the tax will add about $30,000 to his annual payroll costs of roughly $1.5 million.
     
     
    He says with profit margins in the restaurant industry range between three to four per cent and there is little room to absorb significant labour cost increases, meaning prices will have to go up for consumers.
     
     
    Al Hasham, owner of Maximum Express Courier in Victoria, says even small tax increases of one to two per cent stifles the growth of businesses, leading to staffing cuts or higher prices.
     
     
    Finance Minister Carole James says only five per cent of businesses will be paying the full tax rate and those covering the existing health premiums for their employees will see savings as the fees are cut in half and then eliminated.

    MORE National ARTICLES

    Wheels Up For India: Justin Trudeau Takes Wing On Trade Mission To India, Where Sikh Politics Loom

    Wheels Up For India: Justin Trudeau Takes Wing On Trade Mission To India, Where Sikh Politics Loom
    India is the world's second-largest country by population and one of the world's fastest growing economies -- one that's expected to overtake Great Britain later this year to become the fifth largest in the world.

    Wheels Up For India: Justin Trudeau Takes Wing On Trade Mission To India, Where Sikh Politics Loom

    B.C. Ride-hailing Report Makes 32 Recommendations To Pave Way For Regulations

    B.C. Ride-hailing Report Makes 32 Recommendations To Pave Way For Regulations
    An all-party committee in the British Columbia legislature is unanimous in supporting a provincewide plan for ride-hailing services in the province.  

    B.C. Ride-hailing Report Makes 32 Recommendations To Pave Way For Regulations

    Parole Board Rules Out Overnight Leaves For Balaclava Rapist Larry Takahashi

    Parole Board Rules Out Overnight Leaves For Balaclava Rapist Larry Takahashi
    Larry Takahashi is serving three life sentences for multiple counts of rape, aggravated sexual assault and other attacks on 23 women in the Edmonton area in the 1970s and '80s.

    Parole Board Rules Out Overnight Leaves For Balaclava Rapist Larry Takahashi

    B.C. Man Digs Out Moose Trapped Upside Down In Roadside Snowbank

    A logging truck driver in British Columbia was taken by surprise when he saw four legs sticking out of the snow off the side of a road.

    B.C. Man Digs Out Moose Trapped Upside Down In Roadside Snowbank

    Founding Member Of Nanaimo Search And Rescue Killed In Snowmobile Accident

    WHISTLER, B.C. — A volunteer search and rescue organization on Vancouver Island is mourning the loss of one of its founding members.

    Founding Member Of Nanaimo Search And Rescue Killed In Snowmobile Accident

    Police Urge Parents To Talk To Kids About Chilliwack Coach Charged With Sexual Assault

    RCMP say Richard Codie Hindle, also known as Codie Anderson, was arrested for alleged offences in Chilliwack dating back to 2011.

    Police Urge Parents To Talk To Kids About Chilliwack Coach Charged With Sexual Assault