Vaudreuil-Soulanges MP Peter Schiefke marks mandate mid-point
PHOTO BY JAMES ARMSTRONG
Vaudreuil-Soulanges MP Peter Schiefke’s recent open house drew a wide range of guests from across the Vaudreuil-Soulanges riding.
With two years of a four-year mandate under his belt, Liberal Member of Parliament Peter Schiefke hosted an open house at his office for Vaudreul-Soulanges constituents Friday, October 27. There was a steady flow traffic during the event as residents came to share conversation, coffee and their concerns.
During a quiet moment, Schiefke responded to questions from Your Local Journal regarding recent information circulating on social media concerning removal of a federal tax credit for diabetics and taxes for small businesses.
“It’s unfortunate, but there’s a lot of information being spread around right now that is simply not true,” said Schiefke adding, “Clearing up misinformation issues has become a critical part of my job.” The federal tax credit for diabetics program has not been changed. “It never happened,” said Schiefke.
Small business taxes
He described how, in July, Federal Finance Minister Bill Morneau began a 75-day consultation period with small business owners to gain feedback on proposals put forward by the government in order to make the system more equitable. “Immediately, there was misinformation put out that this was already done, that these were changes already put in place,” said Schiefke. The end result, he said, was a mix of clarifying misinformation while carrying out the consultation.
“I had discussions with over 80 small business owners in Vaudreuil-Soulanges who reached out,” said Schiefke, adding that the president of the Chamber of Commerce that represents more than 600 businesses in the area was also included in the consultation process.
Results of consultation
“We are keeping a lot of the tools that small businesses are using to grow and survive,” he said. One result of the consultation was a decrease in the small business tax rate from 10.5 per cent to 9 per cent over the next 15 months. Small businesses account for 98.2 per cent of the Canadian business sector. As well, farmers and small businesses will continue to be able to pass on their business to their heirs.
Schiefke said the federal government has ensured small business owners will continue to have the valuable tool of passive investment and income.
In an email to Your Local Journal, Schiefke stated, “The preferential rate for the 97 per cent of businesses that generate up to $50,000 per year in passive income will be kept, ensuring that they will see no increase in taxes on their passive investment income. Only 29,000, or 3 per cent, of Canada’s 1.8 million small businesses generate more and would be subject to changes.
With $1 million in passive investment at a nominal 5 per cent rate of return, a small business would generate $50,000 in passive income to use to grow their business, hire new employees, or save for a rainy day without facing any increases in taxes.”