Site for Free Markets and Free People

Thursday, December 30, 2010

Canada to Reduce Federal Corporate Taxes to 15%

By 2012, Canada will have federal corporate tax rates of just 15%, less than half that of the U.S.

The Canadian government says those cuts will give Canada the lowest overall tax rate on business investment in the Group of Seven Industrialized Nations when deductions and credits are factored in.

...Since 2008, KPMG has been moving internal marketing, technology and finance services to Toronto from London and other locations. Toronto is now KPMG's biggest global support center with more than 200 staffers.

Gregory Ebel, chief executive of Spectra Energy Corp., Houston, Texas, said Canada's tax advantages are a big reason the company plans to invest more than $2 billion there in the next two years on infrastructure projects, particularly in natural-gas facilities in British Columbia.

Meanwhile, Obama is still trying to increase regulations and costs for businesses in the U.S. to make things more "fair."