Saturday , June 3 2023

The Newfoundland government may steal an unused business program in 2019. | business


A business development program that supports the state's entry into SMEs could be a surplus for local budgets in 2019-20.

Fortune Bay-Cape La Hune MHA Tracey Perry said Tuesday that the program failed to see applicants last year, raising concerns about the Economic Diversity and Growth Enterprise (EDGE) program in the House of Representatives.

After reviewing the numbers, the program application was made in the last few years.

Between 2013-14 and 2017-18, there is no company that recommends a cabinet to use this program.

Tourism Minister Christ Mitchelmore did not express his support for the program at the news conference.

"Looking at the EDGE program itself will cost the Treasury a lot in the early stages, but it will be a long-term investment."

"If the state can afford to come to Newfoundland and Labrador without providing 10 to 15 years in which to pay state or federal taxes, it will certainly be."

Mitchelmore pointed out other business incentive programs that encourage the government to settled businesses in the state.

He said he was willing to review the program.

Perry says it's a good program and she does not want to see it cut off completely.

"I will ask the Minister a lot of questions about it," she said.

"It was a big incentive program to attract investors in Newfoundland and Labrador (especially in rural areas), and there are not many incentive programs, which was very beneficial."

This program was introduced in 1994 and saw dozens of companies using it. However, the decline has been remarkable in recent years.

According to the program, when the company is settled in Northeast Avalon, the provincial salary tax is given a 10-year tax relief benefit. If your company leaves the Northeast Avalon, you can get tax relief for 15 years. There is a 50% additional rebate on the total rebate for federal taxes and local taxes for 10 or 15 years.

The program also offers the possibility to purchase Crown Land in the province for $ 1.

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Twitter: @DavidMaherNL

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