We’re going to make it easier for Albertans to provide for their families again

An Alberta Party government will enact the Jobs First plan to attract investment and create jobs for Alberta families. The plan is expected to expand the provincial economy by $16 billion and foster the creation of 65,000 jobs.

“With our Jobs First plan, we’re going to put Alberta back in its rightful place as the number one place to invest and create great jobs. We’re going to make it easier for Albertans to provide for their families again.” - Stephen Mandel

Restoring Alberta as a Place of Opportunity

• Alberta’s fiscal framework will be adjusted in order to attract investment and stimulate job creation.
  
  
• This package will have a short-term budget impact in the first year of approximately $400 million. The package will pay for itself by its third year and by full implementation in 2023 it will generate an estimated $1.5 billion in additional annual revenue.

Alberta Corporate Tax

• The Alberta general corporate tax rate will be reduced from 12% to 10%. This will restore Alberta’s place as the most competitive jurisdiction in Canada on corporate tax rates. The rate will be rolled out in 0.5% increments.
  
  
• On its own, this change is expected to expand Alberta’s economy by $7 billion. When combined with the other elements of the Jobs First plan, the impact is anticipated to be much higher.

Alberta Small Business Deduction

• The Alberta Small Business Deduction will be doubled from $500,000 to $1,000,000. All other aspects of the Small Business Deduction will remain the same, including the existing small business tax rate of 2%.
  
  
• This change will respect the Alberta Party’s belief that every corporation in Alberta should be required to pay tax, while also encouraging the growth of small businesses in Alberta.
  
  
• Small businesses are a huge part of Alberta’s economy and, as such, represent significant opportunities for growth, expansion, and job creation.
  
  
  • As of December 2018, there were 167,443 small business in Alberta, comprising 96% of all businesses with employees.
    
    
  • In 2017, small businesses in Alberta made up 28% of the province’s economy and 36% of all private sector employment (excluding public administration, health and education sectors).
    
    
• Doubling the Small Business Deduction will give small businesses in Alberta will help incentivize their growth and expansion, leading to more economic activity and hiring. This move also makes sense in 2019. In an age where there are more companies worth hundreds of millions or billions of dollars, the definition of a “small business” needs to be adjusted in relative terms.

Capital Cost Allowance

• The capital cost allowance in Alberta will be adjusted to 100% for all new investment. This will supercharge private investment.
  
  
• Rather than be forced to depreciate capital assets over antiquated time scales of between one and 25 years, Alberta’s tax system will enable investors to accelerate the depreciation of capital investments on an immediate (100%) basis.
  
  
• This change will make investing in Alberta extremely attractive, because investors will be able to get returns on their investments more quickly than under the old scheme. This will, in turn, stimulate substantial job growth in the province.

Business Certainty Guarantee

• One of the major reasons Alberta is finding it difficult to attract private investment and realize job creation is because the NDP has damaged Alberta’s reputation as as stable place to invest.
  
  
• Unexpected lurches in public policy -- such as the NDP’s poorly-structured carbon tax, their oil and gas royalty review, their changes to the electricity market, and their failure to respect contractual agreements with electricity providers -- have created massive uncertainty. Potential investors are now shying away from Alberta out of fear and uncertainty about what sudden policy lurch might occur and what impact that lurch might have on the costs of doing business.
  
  
• The Alberta Party understands that one of the most important things for attracting private investment and encouraging job creation is providing certainty for businesses and investors. Businesses and investors are adaptable and will structure their operations in the ways that make sense for them, based on clear and certain rules and predictable costs.
  
  
• An Alberta Party government will establish the Business Certainty Guarantee on day one of taking office. Under this Guarantee, businesses and investors can have confidence that the overall costs of doing business in Alberta will either stay the same or go down during the four-year term of the government.
  
  
  • Legislative and policy development processes in the government will incorporate a “costs of business” analysis. This analysis will need to happen in the course of considering any changes to, or creation or repeals of, a statute, regulation or policy. The information will need to be put before decision makers.
    
    
  • The analysis will not only assess how proposed changes will impact the direct financial costs to business sectors, but also the indirect and ameliorative effects that might be brought about by the proposed change. (For example, a requirement that businesses install solar panels may introduce direct costs to businesses for purchase, installation, etc., but may lower those businesses’ overall operating costs from energy savings.)
    
    
  • With the exception of emergency situations, an Alberta Party government will ensure that its decisions on legislative and policy changes are informed by the “costs of business” analysis. Under the Business Certainty Guarantee, business costs will need to stay the same or go down as a result of proposed changes.
    
    
• The Business Certainty Guarantee will serve an important signal to the rest of the world about the direction of Alberta’s business climate. It will help restore Alberta’s reputation as a stable place to invest and will aid in the attraction of private investment and private sector job creation.