CANADA’S ECONOMIC ACTION PLAN SUPPORTS BUSINESSES IN THE LONG-TERM

February 10, 2009

(February 10, 2009) Ottawa – Canada’s Economic Action Plan is promoting the long term economic success of Canadian businesses by providing increased capital cost allowance rates and eliminating taxes on machinery and equipment says Charleswood-St. James-Assiniboia Member of Parliament, Honourable Steven Fletcher.

“Our Government is supporting the success of Canadian businesses through this global economic downturn and into the future,” said Fletcher. “We are providing the tools businesses need to remain competitive, and to position Canada’s economy for the future.”

Canada’s government is introducing a temporary 100 percent capital cost allowance rate for computers purchased after January 27, 2009 and before February 1, 2011. This capital cost allowance is a non-refundable tax deduction that reduces taxes owed by allowing the cost of business-related assets to be deducted from income.

As well, Canada’s government is saving Canadian industries over $440 million over the next five years by permanently eliminating tariffs on a range of machinery and equipment.

For more information on Canada’s Economic Action Plan, please visit: http://www.budget.gc.ca/2009/