- Topics
- Income Tax
On March 5, 2020, Yukon Premier and Minister of Finance, Sandy Silver delivered the territory’s 2020 budget. The territory’s priorities for the year include investments in housing, support for the economy, green initiatives, education, and infrastructure.
With respect to taxes, the territory announced that effective January 1, 2021, it will reduce the small business tax rate to zero from 2%. The territory expects to offset the expected shortfall in its revenue attributed to the small business tax rate decrease by increasing the insurance premium tax to 4%.
The territory anticipates that the reduction in the small business tax rate will save businesses about $2 million each year which can be invested in these businesses to promote their growth.
Additional information about Yukon’s Budget 2020 may be found at the following link:
https://yukon.ca/en/budget-2020-21