• Service: Tax, International Tax
  • Type: Regulatory update
  • Date: 11/13/2013

Canada - Proposed tax changes in Ontario 

November 13:  Ontario’s Finance Minister in November 2013 announced proposed measures to increase the tax rate on “non-eligible dividends” of up to 3.9%, effective 1 January 2014.

Other proposed measures would:

  • Enhance certain research and development (R&D) tax credits
  • Provide certain transitional support for three contact centre apprenticeship trades that will no longer qualify for a tax credit
  • Freeze the provincial land tax (PLT) rates for 2014, pending reform consultations with northern communities
  • Introduce a non-refundable tax credit to encourage the donation of surplus fresh food to the poor
  • Delay implementation of the raw leaf tobacco oversight system

Because Ontario has a minority government, it is not clear whether these tax changes will be enacted into law.

Read a November 2013 report prepared by the KPMG member firm in Canada: Ontario’s 2013 Economic Update Increases Non-Eligible Dividend Tax Rate

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