The Thunder Bay Chamber of Commerce supports most of the Conservative government's moves in its latest tax-cutting budget, released last month.
Particularly, chamber officials say they are pleased with the government's decision to abolish the "job-killing capital tax" that businesses of all sizes must pay on the sum of their equity and debt.
Although Finance Minister Jim Flaherty, in delivering his first budget, did not reveal when the capital tax would be eliminated, he said the first phase would be implemented on Jan. 1, 2002, raising the threshold for tax-free capital to $5 million from $2 million.
Chamber of commerce board members say overall, the budget is a positive one that emphasizes a variety of tax cuts for Ontarians. The budget also reveals that the government will double spending for apprenticeship programs.
But nothing was mentioned in this budget about the Ontario Small Town and Rural program (OSTAR); $400 million over five years had been committed to the core of the program in last year's budget, with another $200 million expected in this year's budget for OSTAR's economic development component.
There was also no mention of how long it will take to remove the surtax currently charged to middle-income earners making around $54,000.