Fédération des chambres de commerce du Québec and the Chambre de commerce de Gatineau call for better government efficiency amid the Feds tabling the 2023-24 budget
Fédération des chambres de commerce du Québec and the Chambre de commerce de Gatineau call for better government efficiency amid the Feds tabling the 2023-24 budget
A few hours before the tabling of the budget in Ottawa, the Fédération des chambres de commerce du Québec (FCCQ) and the Chambre de commerce de Gatineau called for better government efficiency.
“For the FCCQ and the Gatineau Chamber of Commerce (CCG), the 2023-2024 federal budget should aim to restore the effectiveness of government action, which is crucial in the current context of uncertainty. The administrative red tape, frequent overlapping and sometimes poor targeting of tax and financial assistance programs, not to mention the exaggerated delays of the immigration system, all act to undermine our economic growth. Businesses, citizens and newcomers bear the burden of these federal bureaucracy inefficiencies”, the two organizations said.
“In addition to controlling inflation, the fight against labor shortages must obviously remain at the top of government priorities, in order to support businesses and prepare for a return to more vigorous growth. The 2023-2024 federal budget must be an opportunity to accentuate this, while refining efforts in direction, to increase its effectiveness,” said Charles Milliard, President and CEO of the FCCQ.
“Our proposals reflect these expectations. For example, we reiterate the importance of tax incentives for retaining experienced workers and modernizing the Employment Insurance system. But we also recommend speeding up the processing of immigration applications as well as the issuance of work permits, and then better funding practical internship programs and continuing education,” Milliard underlined.
In terms of public finances, the FCCQ and the CCG believe that the federal government should provide different options for eliminating its deficit according to the evolution of economic conditions and adopt a balanced budget law. In the medium term, they’re calling for an in-depth review of the tax system aimed at simplifying it, as well as starting discussions with the Government of Quebec on its single tax report.
“More and more experts are saying that the federal government must regain control of its public finances and this means returning to a balanced budget by 2027-2028. The fall economic statement is positive step in the right direction, but an in-depth reassessment of budgetary and tax expenditures, and the elimination of costly and inefficient duplication would be best moving forward,” Milliard said.
Considering the economic slowdown announced for 2023, the tax burden on businesses should not increase. The FCCQ and the CCG propose to reconsider the relevance and the criteria for the taxation of passive income and especially, the transfer of family businesses, namely Bill C-208. “We are awaiting the legislative amendments announced for C-208 and hope for rapid progress in this file, which is crucial for Quebec,” he said.
Now, as companies’ access to financing is shrinking, a greater effort is needed to increase the supply of growth capital and support for technological upgrading. The FCCQ and the CCG therefore want rapid deployment and, above all, flexible eligibility criteria for the measures announced, including the creation of the Canada Innovation Corporation or the review of the tax credit for scientific research and development. experimental (SR&ED).
Structuring interventions are thus expected for regional development such as the development of a modern rail transport system between Quebec and Toronto, the financing of sustainable urban and interurban mobility as well as local railways, support for regional airport infrastructure, then movement on the St. Lawrence shipping lanes and its major tributaries.
“The economic impacts of the inflationary cycle and the current slowdown will be uneven across regions and sectors. It is necessary to present the budgetary measures likely to streamline economic activity across the territory now, to ensure a return to sustainable growth, benefiting all regions in Quebec, ” Charles Milliard concluded.
The FCCQ’s 2023-2024 Federal Pre-Budget Brief can be viewed here.
About the Fédération des chambres de commerce du Québec (FCCQ)
Thanks to its extensive network of 123 chambers of commerce and 1,200 corporate members, the Fédération des chambres de commerce du Québec (FCCQ) represents more than 45,000 businesses operating in all sectors of the economy and throughout the Quebec territory. The largest network of business people and companies in Quebec, the FCCQ is both a a federation of chambers of commerce and a provincial chamber of commerce. Its members, whether chambers or companies, all pursue the same goal: to foster an innovative and competitive business environment.
About the Gatineau Chamber of Commerce (CCG)
One of the most dynamic in Quebec, the Gatineau Chamber of Commerce is the essential leader for the economic development of the region with nearly 900 members. For more than 80 years, its mission has been to boost the economy of Gatineau and the MRC des Collines-de-l’Outaouais, and to be the voice of the business community for the benefit of its members and the community. Its role is to facilitate networking, to represent the interests of the business community and to initiate activities for sharing practices in order to fully integrate its members into the economic development of the region. ” Connect. Represent. Propel. »
