CMB MAGAZINE cmba-achc.ca fall 2017 | 11
letters to the editor
update
I
f you have already provided a submission
to the federal government on this matter,
thank you. If you have not, I would urge your
team to do so in order to support our fellow
industry associations (Canadian Real Estate
Association, Canadian Bar Association, etc.).
Here is what I would say to our
prime minister:
Dear Mr. Morneau,
I am a business owner responsible for more
than 80 employees. Aer reviewing your
recent tax proposals, I feel as though the
Liberal government has little understanding
of the challenges small businesses are faced
with. So perhaps a true story regarding my
business may provide you with some insights. I
believe this is a story thousands of other small
business owners in Canada can relate to.
PART 1: THE START-UP
Like almost every entrepreneur in the
Western world, my start-up capital came
from a mortgage secured against my family's
home and family savings. e mortgage was
co-signed by both me and my wife, so if the
business failed, my family would have pretty
much lost everything we owned. is was
terrifying. If you talk to any small business
owner in Canada, you quickly learn how truly
daunting it is to put the "family jewels" at
risk to start a business.
However, under the new tax proposal
to eliminate dividends payable to family
members, the government is neglecting to
take into account that if a small business fails
or feels pain, so too does the family. In my
view, it is simply wrong that the government
is asking families to share in 100 per cent of
the risk of starting a business, but allowing
only one member to share in the upside.
From a policy perspective, how is this
supporting entrepreneurship? What upside
does a spouse receive for taking the risk of
co-signing a mortgage or using family savings
for start-up capital? Under your proposals,
none. is is wrong.
PART 2: THE GOING CONCERN
Aer 12 years, weekends worked, no sick
days and no vacation without my laptop, my
business is a healthy going concern. I am
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CMBA MEMBERS' VIEWS
Stop squeezing
small business
