Local leaders in the Battlefords are happy to see the measures from the province to help businesses but are hopeful for more in the future. (file photo/battlefordsNOW Staff)
Business assistance

Chamber, city encouraged by supports for Battlefords businesses

Dec 11, 2020 | 4:29 PM

Following several announcements from the provincial government, local businesses in the Battlefords may have some relief.

The province announced legislation to reduce the tax rate for Saskatchewan small businesses over the next three years, which fulfills a commitment made during the election campaign. They also announced the new Strong Recovery Adaptation Rebate (SRAR), designed to assist businesses, as they adapt their business models to address pandemic related challenges. North Battleford Mayor David Gillan said it was excellent news.

“Whatever we can do to help our small businesses,” he said. “They are a big driver of our economy and they’ve had to adapt.”

For many businesses, that has included purchasing PPE equipment, installing Plexiglas to create physical barriers, more online business, and other measures.

“They had to lay out a lot of their own resources to do this adaptation,” Gillan said. “And hopefully they can stay open.”

While happy to see this come from the province, Gillan said he would like to see even more incentives moving forward. A number of businesses still require help with fixed costs like rent and employment, as revenue coming in simply can’t keep up under current restrictions.

“It’s really hard right now,” he said. “These are good plans, I welcome them, but I always welcome more.”

Battlefords Chamber of Commerce COO Linda Machniak said they’ve heard from several businesses in the area that welcomes the move, particularly having lower taxes. The province’s small business income tax rate drops to 0 per cent, returning to 2 per cent in 2023. Machniak said this is a move from the government that would not have happened without the pandemic, but will be a long term benefit.

“The government does realize those monies back, but just in a different form of taxation, like income taxation,” she said. “It’s [rarely] negative long term, just in the short term.”

Machniak said this is because there’s a variety of ways that businesses doing well will contribute to dollars for the province down the road.

“Either employment, getting people back to work, or bolster their opportunity to move their business forward,” she said. “So that’s a positive step.”

One of the key elements of the rebate is allowing for up to $5,000 for expenditures $10,000, like Plexiglas and other PPE. For small businesses trying to cover for reduction in revenues, Machniak said it’s a huge positive.

“I’m hoping this at least will help provide some support for those who had to put in a lot of expense,” she said.

More information on the province’s legislation is available online.

josh.ryan@jpbg.ca

On Twitter: @JoshRyanSports

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