News Release Archive
NEWS RELEASE (CNS819) -->> PREMIER--THREE PREMIERS PROMOTE REGION IN TORONTO PREMIER--THREE PREMIERS PROMOTE REGION IN TORONTO ----------------------------------------------------------------- Premier John Savage, New Brunswick's Premier Frank McKenna and Premier Brian Tobin, of Newfoundland and Labrador, spoke with a group of journalists in Toronto today as part of their joint efforts to aggressively promote the Atlantic region and the advantages it can offer to the business community. The three premiers said the new harmonized sales tax (HST) in their provinces has made Atlantic Canada the prime business and investment location in the country. "The Conference Board of Canada and the Atlantic Provinces Economic Council both share our view that the HST will have a positive impact on the economy of Atlantic Canada," said Premier Savage. "In Nova Scotia, we expect as a result of the HST, our provincial gross domestic product (GDP) will grow by 0.8 per cent. As provincial governments, we have accepted the challenge of doing what we can to create an environment which will allow the private sector to do what it does best --- create jobs ... that's what harmonization does for us. Investments will be made and jobs will be created," Premier Savage said. Premier McKenna said that joined together, "Our voices are much stronger and our message will reach more business leaders and decision makers around the globe." He said, "The HST is giving us a great competitive advantage in the Atlantic region, and is perhaps the biggest single impact on our economic prosperity of any measure in history." "Business in other parts of Canada, and indeed outside, should strongly consider investment in Atlantic Canada," said Premier Tobin. "We are here today to tell you that the HST will mean a fairer, simpler and economically efficient tax system which will result in substantial benefits for both business and consumers alike. This is a win-win situation which we strongly feel that businesses should pursue --- it's the Atlantic advantage," Premier Tobin said. Under the new sales tax system, anyone setting up shop in Nova Scotia, New Brunswick, Newfoundland or Labrador, will receive full input tax credits under the new sales tax system. This, said the premiers, will remove embedded taxes and result in a lower cost of doing business, and lower prices for consumers. They said that because businesses will be able to price their goods more competitively, it will be particularly advantageous for exported goods, which will be free of sales tax. The Atlantic premiers told the Toronto audience that steps will be taken to ensure that businesses inside and outside the harmonized zone are treated equitably. In addition the cost of complying with tax laws will decrease. They said businesses will have one set of tax laws, rules and regulations instead of the two which currently exist. This, they said, will reduce the compliance and paper burden on business, and allow business to concentrate on more productive activities. The three provinces have cooperated in an "Atlantic Advantage" advertising campaign in The Globe and Mail, The Financial Post and Les Affaires to promote investment in the Atlantic region. -30- Contact: David Harrigan 902-424-6600 trp Nov. 19, 1996 - 2:55 p.m.