CFIB calls for pause to boost in payroll taxes
January 2, 2023
The Canadian Federation of Independent Business (CFIB) is pushing the federal government to hit the pause button on the upcoming 2023 increase in payroll taxes.
The group has sent a letter to Deputy Prime Minister Freeland, calling on the federal government to avoid burdening small businesses even further.
“Now is not the time to raise taxes and drive more businesses into despair,” says Corinne Pohlmann, senior vice-president of national affairs at CFIB. “Give them a break.”
By Jan. 1 next year, Canada Pension Plan (CPP) premiums will rise by up to 7.3% due to an increase in both the CPP rate and the Yearly Maximum Pensionable Earnings (YMPE). This will cost workers and employers up to $255 more in contributions per employee, according to CFIB.
The maximum pensionable earnings under the Canada Pension Plan (CPP) for 2023 will be $66,600 – up from $64,900 in 2022, according to the federal government. The employee and employer contribution rates for 2023 will be 5.95% – up from 5.70% in 2022. The maximum employer and employee contribution to the plan for 2023 will be $3,754.45 each, up from $3,499.80 in 2022.
Source: HR Reporter
