Quebec fights for labour fund tax credit

The Communications, Energy and Paperworkers Union of Canada (CEP) says they want the government to reconsider Budget 2013’s elimination of the labour fund tax credit.

“We believe the phase-out of the labour fund tax credit is an attack by the Conservative government on the workers of Québec”, says Gaétan Ménard, national secretary treasurer of CEP, in a recent letter.

The letter further states:

“[The government] snuck into the federal budget…the elimination of a tax credit that is very important for the workers of Québec. The 15% tax credit for money deposited in labour investment funds has been a useful…tool in this province. Thanks to this tax credit, funds…contribute in multiple ways to develop the economic growth of Québec, [as well as] create and maintain jobs by investing in businesses.

In these times where pension plans are weakened by an unstable economy, the loss of this tax credit will increase the precariousness of the retirement savings of thousands…The cut adds to those already made to the OAS Program.”

Read:

Budget 2013 focuses on deficit taming

Ontario to scrap labour fund tax credit (2005), for more on why this credit was phased out in Ontario. Also, read the outline of the government’s phase-out plan proposed in September 2005.

Staff

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