Tax Plan A Good Fit For Kingston Manufacturer

May 20, 2010 3:00 PM

McGuinty Government Supporting Companies Like Transformix Engineering

Businesses such as Transformix Engineering in Kingston will benefit from Ontario's tax plan, which includes significant tax cuts and the move to a single, harmonized sales tax (HST).

Tax expert and economist Jack Mintz says that the tax plan will lead to increased business investment and help create almost 600,000 net new jobs across Ontario, over the next 10 years.

As a result of the HST and business tax cuts, the tax rate on business investments in Ontario will be cut in half, making Ontario one of the most competitive jurisdictions in the world. Once tax changes are fully phased in, manufacturing alone will save $1.2 billion annually.

Transformix Engineering, which has 75 employees, is a good example of an Ontario company that will gain from the new tax plan while competing in an increasingly global marketplace. It is a premier supplier of factory automation systems and products, serving an international clientele of manufacturing firms in diverse industries.


Quick Facts

  • The tax package, including the HST, is a key component of the five-year Open Ontario Plan to help create jobs, grow the economy and build a stronger Ontario.
  • Replacing the Retail Sales Tax with the Harmonized Sales Tax will eliminate the embedded sales tax that many products carry; reducing business costs and helping to make Ontario more competitive, leading to more jobs.
  • The HST will save Ontario's businesses more than $500 million a year in administrative and compliance costs alone.
  • When the HST begins on July 1, 2010, businesses will deal with one set of sales tax forms and one point of contact for audits, appeals and taxpayer services.

Learn More


Contacts

  • Leslie O'Leary (Media Only)
    Minister's Office
    416-314-4816
    Leslie.O'Leary@nullontario.ca
  • Scott Blodgett (Media Only)
    Ministry of Revenue
    416-325-0324
    Scott.Blodgett@nullontario.ca
  • Public Inquiries
    Ontario Budget and HST information
    1-800-337-7222

Ministry of Revenue
ontario.ca/revenue