The Province previously had initiated a cascade of tax reductions through 2008—in February, July and October. As a result, there wasn’t room for any more! Most of the budget changes related to sales tax issues.

The only notable income tax issue was the predictable consequential impact of the multiple lowerings of the BC small business tax rate through 2008. The integration of small business dividends – so called “ineligible” – will receive a lower dividend tax credit in 2010 of 3.4% (from 4.2%).

Article originally published: Feb 2009