Small businesses across Canada are engines for job creation. They employ 48 percent of the private sector labour force and contribute about 30 percent to Canada’s gross domestic product.
The Government recognizes the important role played by small business in our economy. That is why the Economic Action Plan (EAP) includes many initiatives to help them succeed.
The Government is helping small business succeed by reducing their taxes, administrative burden and red tape. Under EAP, the temporary hiring credit for small business has been expanded, the maximum loan amount for financing small business has been increased, and new tax relief for new manufacturing equipment has been introduced. Supporting apprentices and increasing the exemption on capital gains play an important part and are also part of the EAP.