Latest news with #taxfairness
CTV News
7 days ago
- Business
- CTV News
CFIB calls for lower property tax rates for small businesses in Atlantic Canada
The Halifax skyline is seen from Dartmouth, N.S., on June 30, 2022. (Andrea Jerrett/CTV Atlantic) The Canadian Federation of Independent Business is calling on local and provincial governments to reduce commercial property tax rates for small businesses in Atlantic Canada, saying they aren't being taxed fairly. According to a recent report from the CFIB, commercial property tax rates are typically more than double the residential rates, which it says has small businesses paying thousands of dollars more in property taxes. 'Small business confidence remains on shaky ground because of Canada-US trade tensions, lower consumer demand, and high costs,' said Duncan Robertson, CFIB's director of legislative affairs for Nova Scotia, in a news release. 'Municipalities need to provide improved fairness in how they set property tax rates. If they are serious about supporting small businesses, its time to show it.' Property tax gap by municipality Tax bill on a $372,500 property Tax Gap $ Multiplier X Residential $ Commercial $ St. John's 2.04 3.52 3,017 10,616 Charlottetown 2.19 2.31 6,221 14,379 HRM* 2.12 4.34 2,364 10,245 CBRM 3.13 2.61 7,240 18,989 Moncton 2.81 3.06 5,071 15,535 Fredericton 2.77 3.12 4,875 15,200 Author's calculations = from municipal tax rates. Municipal property tax rates taken from municipal websites. Note: HRM rates are averages of the area and tiered rates. $372,500 is the average of the Canadian Real Estate Association's National MLS Home Price Index for St. John's, Prince Edward Island, Nova Scotia, and New Brunswick in April 2025. Call to lower property tax rates The CFIB says more than 70 per cent of small business owners believe municipalities should make it a priority to limit property tax increases and close the gap between residential and commercial property tax ratees. 'This unfairness has a real impact on small businesses and in turn their customers with six in 10 small businesses having to increase prices to keep up with rising occupancy costs,' added Robertson. 'With municipalities increasing costs on small businesses while providing them with little improvement in services, small businesses have one clear ask, better value for their money.' The CFIB is calling on local and provincial governments to do the following: reduce commercial property tax rates for small businesses close the property tax gap between commercial and residential properties engage in sustainable spending practices that keep spending and tax levies in line with growth in population and inflation The findings of the report are based on 412 responses from a random sample of CFIB members between June 3 and June 9 of this year. The CFIB is Canada's largest association of small- and medium-sized businesses with 100,000 members, including more than 4,200 in Nova Scotia. More to come…
Associated Press
07-07-2025
- Business
- Associated Press
Congress Passes FICA Tip Tax Credit: A Historic Victory for the Professional Beauty Industry
Salon, spa and barbershop owners finally win long-overdue tax fairness in one of the most significant legislative victories in beauty industry history. SCOTTSDALE, AZ, UNITED STATES, July 7, 2025 / / -- Congress has officially passed the 45B FICA Tip Tax Credit, finally providing tax fairness for salon, spa and barbershop owners by allowing employers a dollar-for-dollar tax credit on the employer portion of FICA taxes on employee tips. The Professional Beauty Association (PBA) celebrates this moment as a generational victory for the more than 1.3 million professionals who power the beauty industry across the United States. For the first time ever, beauty business employers will receive the same tax credit afforded to restaurant employers since 1993. This change corrects a decades-old tax inequity and delivers long-overdue recognition to an industry made up overwhelmingly of women, diverse entrepreneurs and single-location small-business owners. 'As government affairs professionals, Kati Rapoza and I have spent nearly 15 years working to advance this legislation,' said Myra Reddy, director of government affairs. 'The beauty industry deserves tax fairness and a voice to represent them in Congress. We're proud to have represented PBA members. Every advocate who stood with us deserves immense gratitude — we did this together.' Passed as part of the reconciliation package, the Section 45B FICA Tip Tax Credit, paired with the new No Tax on Tips deduction for workers, represents sweeping federal tax reform for service-based businesses. It will not only provide financial relief but will also help stabilize and elevate the future of thousands of beauty businesses across the country. What the 45B FICA Tip Tax Credit Will Do: - Offset increased FICA liability from higher reported tips - Free up capital for reinvestment in staffing, training, wages and benefits - Strengthen women- and minority-owned small businesses - Encourage accurate and transparent tip income reporting 'This isn't just a tax credit — it's a statement,' said Leslie Perry, executive director of the Professional Beauty Association. 'It says our industry matters. Beauty professionals are job creators, community builders and economic drivers. Finally, the professional beauty industry has achieved tax fairness in our U.S. tax code.' The Professional Beauty Industry at a Glance - Eighty-three percent of industry professionals are women - Sixty-nine percent of employer businesses are women-owned - Forty-seven percent are minority-owned - Ninety-eight percent of salons operate as single-location small businesses - The industry generates $81.8 billion in annual revenue The passage of the 45B FICA Tip Tax Credit is not just a win, it's a long-awaited validation of the industry's contributions, and a turning point in how Congress views America's beauty professionals. The Professional Beauty Association is grateful for every advocate, business owner, and policymaker who stood firm over the years—especially our partners at the International Salon & Spa Business Network (ISBN) for their commitment and collaboration in helping bring this across the finish line. 'ISBN's leadership, unity, and unwavering support were instrumental in helping our industry speak with one voice. Their partnership elevated this effort in every way, and we're deeply grateful to stand alongside them in this historic win,' said Kati Rapoza, PBA government affairs manager. 'We also express special thanks for the invaluable support of Gordon Logan of Sport Clips and Rhoda Olsen of Great Clips, whose dedication and generosity were key to achieving this milestone.' ISBN President Edward Logan, CEO of Sport Clips, echoed the significance of this moment for the future of the industry: 'The passage of No Tax On Tips and the extension of the employer tip tax credit to the beauty industry is historically impactful for our industry,' said Logan. 'Licensed hair and beauty services professionals will see an increase in their take-home pay, making these careers even more attractive. Small businesses across the country will be empowered to thrive and reinvest, open new locations, better serve consumers, and employ a greater number of talented professionals.' This victory was earned through unity, resilience and an unwavering belief that beauty professionals deserve better. For more information, visit Kasey Kaler Professional Beauty Association [email protected] Visit us on social media: Instagram LinkedIn Legal Disclaimer: EIN Presswire provides this news content 'as is' without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the author above.
