The federal government’s announcement on the Productivity Mega Deduction is a welcome and meaningful step in making Canada a more competitive destination for business investment.
The Business Council of Alberta (BCA) has long called for a more competitive tax system that encourages businesses to invest in new projects, equipment, technology and other capital. In our pre-budget submission to the federal government, BCA called for expanding the Productivity Super-Deduction into broad, permanent accelerated depreciation with 100% first-year write-offs for qualifying capital expenditures.
The new measure will allow more businesses to write off new capital investment right away, helping create stronger conditions for a host of more project investment that will support economic growth, jobs and prosperity for Canadians.
This is the kind of policy Canada needs to unlock private-sector investment and build long-term economic growth and prosperity.