The bill that reduces the small business income tax rate in the Northwest Territories to 2% (from 4%) has now become law. The decrease in the small business income tax rate is effective January 1, 2021.
This measure, which was included in Bill 16, was considered substantively enacted for IFRS and Accounting Standards for Private Enterprise (ASPE) purposes on March 12, 2021, the date the bill received third reading, as Northwest Territories has a consensus-style government. The reduction of the small business income tax rate is considered enacted for U.S. GAAP purposes on March 31, 2021, the date the bill received Assent.
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Information is current to April 12, 2021. The information contained in this publication is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavour to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act upon such information without appropriate professional advice after a thorough examination of the particular situation. For more information, contact KPMG's National Tax Centre at 416.777.8500