Canada needs tax reform — relieving small business pain might be the first step

OTTAWA - Canada's Prime Minister Mark Carney has appointed a team to address the long-standing need for tax code reform, with small businesses being a top priority. Experts agree that simplifying and improving Canada's tax system has been overdue for some time. Tax expert Wayne Long, a Liberal MP, emphasized that the current tax code is cumbersome and needs a thorough review.

The upcoming fall budget is seen as a crucial step in the Liberal government's efforts to attract investment and foster growth after the impact of the U.S. tariff campaign. Recent changes have included encouraging businesses to invest in capital through immediate tax writeoffs on new equipment, and cutting the lowest income tax bracket by one percentage point.

However, Conservative finance critic Michael Chong argues that the government has only made superficial changes and that serious tax reform is still needed, citing decades of poor business investment and weak productivity.