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Northwest Territories, Canada Reducing Small Business Tax Rate — Orbitax Tax News & Alerts

On 12 March 2021, the Legislative Assembly of the Northwest Territories, Canada approved in its third reading a bill for the reduction in the small business tax rate. The bill provides for a reduction in the rate from 4% to 2% with effect from 1 January 2021. Combined with the federal small business rates of 9%, this results in an 11% rate on the first CAD 500,000 of active business income of qualifying businesses.