The Chartered Accountants of BC are...

The Chartered Accountants of BC are recommending that the BC sway appoint an expert panel to direct the eye at taxation levels in the province. This is single of five key recommendations made according to the CAs to the government's fiscal estimate consultation committee.

"The provincial command needs to look at our province's competitive position," said Richard Ree CA, CEO of the Chartered Accountants of BC "By 2004 a company in BC with taxable income between $200000-- $400000 will face a general tax rate throughout five times higher than the same sized firm in Alberta."

Ree is interested that the BC government's packet consultation paper does not address the issue of what will happen to BC's economy if we maintain the status quo in confines of business taxation while Alberta and Ontario become more attractive to investors.

"What we ne to find on the outside is whether the status quo is level a realistic option," said Ree "When our main competitors are dramatically reducing personal and business taxes, we have to know what this will mean to the futurity prosperity of our province."

The five recommendations made by way of the Chartered Accountants of BC are:

1 Phase-out the Corporation Capital Tax and the sales tax upon Machinery & Equipment, and begin reducing the general corporate income tax rate.

2 Appoint an adroit panel to review all business taxes in defer to to competing jurisdictions, the impact forward our competitive position, and any trade-offs associated with business tax reductions.

3 bring to personal tax rates in BC for all income on a levels

4. Introduce a long-term due management plan with measurable targets.

5 Implement the remaining recommendations of the Enn Report for a like reason that government follows GAAP and includes the so sector in the Summary Accounts.

The satiated budget submission is available forward the Web at www.ica.bc.ca.

Copyright Institute of Chartered Accountants of British Columbia Dec 2000

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