Above are the Canadian Federation of Independent Business tax index rankings by province.
Newfoundland and Labrador improved its Small Business Provincial Tax Index ranking from sixth place in 2009 to fourth in 2013, according to an updated report from the Canadian Federation of Independent Business (CFIB).
But the province’s tax system still needs improvement in key areas, the CFIB says.
The second edition of the Small Business Provincial Tax Index puts Alberta, Saskatchewan and New Brunswick in the Top 3 spots. Quebec is ranked at the bottom in 10th place.
The report looks at how the provinces stack up against one another by examining 53 indicators in five major areas of tax policy — premiums and payroll taxes, sales and excise taxes, corporate income taxes, personal income taxes and property taxes.
“While we are glad to see that Newfoundland and Labrador improved its ranking from 2009, there is still room for improvement in areas such as workers’ compensation premiums and payroll tax,” said Vaughn Hammond, CFIB’s senior policy analyst in Newfoundland and Labrador.
“Our businesses are paying some of the highest rates for workers’ compensation in the country and we are one of only four provinces that still has a tax on payroll, which has an impact on business expansion and job creation,” Hammond said.