Tax Incentives for Private Sector Business
Ok, lets take a crack at this one. Of course, everyone is still talking about the famous (or infamous) Tax incentive that Irving received in Saint John. Right up front i'll say I disagree with how this deal was handled, at the municipal, and provincial level. It was much to large, for the few jobs it will create. In other words, the council, "sold the farm" and the province helped them all the way.
My own personal feeling is, in order to bring investment into the province with new companies and factories, we need to have incentives to make it attractive to set up shop here. However, my belief is the size of the incentive needs to be in line with the Long term jobs created. Yes with any new company there is a short term spin off with construction, and setup, but the tax rebate comes around each year. That amount should be reasonably in line with the amount of new jobs created, and the pay scale of those jobs. More good paying jobs obviously means more tax money in the provincial coffers. Hopefully enough to offset the rebates given to create those jobs. I'd personally rather see tax incentives than loan guarentees. If the company goes bust we're all on the hook for those. Look at St.Anne Nackawic. Look at the yarn mill's if they don't re-open.....millions in loans from the government. Should we be giving incentives to companies who want to set up shop in New Brunswick?? What types of industry and business do we want?? What should our governments at all levels be doing on their part to help with attracting new business??
My own personal feeling is, in order to bring investment into the province with new companies and factories, we need to have incentives to make it attractive to set up shop here. However, my belief is the size of the incentive needs to be in line with the Long term jobs created. Yes with any new company there is a short term spin off with construction, and setup, but the tax rebate comes around each year. That amount should be reasonably in line with the amount of new jobs created, and the pay scale of those jobs. More good paying jobs obviously means more tax money in the provincial coffers. Hopefully enough to offset the rebates given to create those jobs. I'd personally rather see tax incentives than loan guarentees. If the company goes bust we're all on the hook for those. Look at St.Anne Nackawic. Look at the yarn mill's if they don't re-open.....millions in loans from the government. Should we be giving incentives to companies who want to set up shop in New Brunswick?? What types of industry and business do we want?? What should our governments at all levels be doing on their part to help with attracting new business??
