POLITICS
04/03/2012 12:33 EDT | Updated 06/03/2012 05:12 EDT

Calgary Chamber of Commerce wants election winner to cut small business tax rate

CALGARY - Calgary's business community is jumping into Alberta's provincial election campaign with a warning about tax rates.

The Chamber of Commerce says which ever party wins the April 23 vote should cut the small business tax rate from three per cent to two per cent.

Chamber economist Ben Brunnen says if the government fails to make the cut, Alberta would lose its competitive advantage over other provinces such as Saskatchewan, which cut its small business tax rate last year to two per cent.

The last small business tax reduction in Alberta was in March 2004.

Brunnen estimates cutting the tax by one percentage point would cost the provincial government about $164 million per year.

The Calgary Chamber says it will make more election-related announcements in coming weeks.