BC Conservatives Propose Alternative to Double Taxation Payroll Tax
The BC Conservative Party proposes a progressive health premium instead of the NDP's proposed payroll tax. Under the current proposal, the NDP government is simply downloading the cost of MSP onto municipalities, businesses, and public sector organizations, and ultimately the public, while creating a new drag on the economy.
The NDP's payroll tax, which the NDP is disguising as a "health tax," is being implemented in 2019 even though Medical Service Plan premiums won't be eliminated until 2020. This means employers will have to pay twice in 2019.
In conjunction with the NDP’s minimum wage hikes, it also means that more employers, including schools, health authorities, municipalities, and even regional districts will forced into paying this health tax, stifling both growth and innovation.
Scott Anderson, Interim Leader of the BC Conservative Party, asked: "Not only is the NDP government taxing businesses in BC twice for the same thing in 2019 while giving nothing back to the citizens of BC, but they are also downloading the cost of healthcare onto the workers of BC through the back door."
Many British Columbian employers – including those in both the private and public sector – are being faced with millions of dollars in new payroll taxes. These new expenses will force employers to increase prices that they charge consumers, cut back on services, reduce employee compensation, cut back on staffing levels, reduce growth, and stall innovation. Further, this new tax will be downloaded onto municipal property taxes in the case of municipalities and other public sector organizations, like schools and libraries.
For example, under the new payroll tax, Vancouver will have to pay an additional $9 million in payroll tax, while the University of British Columbia alone will be forced to pay $23 million in new taxes. In the case of the health authorities, the NDP has created a ludicrous situation in which the province is taxing itself to the tune of a Billion dollars.
“To protect consumers, property owners, renters and workers from being penalized by the NDP’s new payroll tax, we call on all MLAs to amend the budget,” said Anderson. "It seems that leaving the NDP in charge of the economy is like sending pyromaniacs to put out forest fires."
The BC Conservatives propose a graduated, progressive health premium with a higher cap of $100. Employers, both public and private, will retain the ability to choose whether to cover the health premium, thereby avoiding municipal downloading, double taxation, and the creation of a new economic drag.
For more information:
Scott Anderson, Interim Leader, BC Conservative Party
Telephone: (250) 434-2550 | http://www.bcconservative.ca/