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Posted May 2, 2008
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Red Tape Comment

Small business applauds Ottawa’s progress to reduce red tape and urges more

Ottawa – CFIB applauds Secretary of State Diane Ablonczy’s announcement that the government is making progress towards reducing red tape but cautions more must be done.

“Red tape is a $33 billion a year hidden tax. It is one of the most significant headaches business owners deal with day-in, day-out. We’re making some good progress towards reducing it but we have to keep pushing,” said Garth Whyte, Executive Vice-President. “Controlling red tape can’t just be the flavour of the month, it’s got to be a permanent feature on the menu,” he continued.

The government has moved on several of CFIB’s specific recommendations to streamline red tape, including simplifying the automobile expense deduction by allowing people to keep a logbook for a sample period of time instead of for a full year. “This change promises to save thousands of hours that can be put to more productive use,” said Whyte. The government is also introducing a passport that can be renewed every 10 years instead of every five years. “Anyone who travels will appreciate that.”

Ablonczy also announced that she had received the second annual progress report from the Advisory Committee on Paper Burden Reduction (ACPBR). The ACPBR is a public-private working group formed in 2004 and co-chaired by CFIB and Industry Canada.

“The ACPBR recommends measuring red tape and controlling it over the long term. This is as critical to our economic prosperity as reasonable tax rates,” said Laura Jones, Vice-President for Western Canada and Co-Chair of the ACPBR. The report also recommends making customer service a focus for all regulating departments and agencies. “It’s not enough just to reduce the rules - good customer service and easy access to information is essential.”

“Branding Canada as serious about controlling red tape over the long term promises big economic rewards. Today’s announcements are an important step in that direction,” Whyte concluded.
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