OntarioDid Not Pass43rd Parliament, 1st Session

Bill 195 explained in plain English

Cutting Taxes on Small Businesses Act, 2024

Finance & Taxation Economy, Business & Trade

Ontario legislature bill summary, status, timeline, sponsor, votes, and official sources.

How This Type of Bill Becomes Law Official source

At a glance

Jurisdiction

Ontario Legislature

Legislature / Parliament

Legislative Assembly of Ontario

Session

43rd Parliament, 1st Session

Bill number

Bill 195

Full title

Cutting Taxes on Small Businesses Act, 2024

Current status

Did Not Pass

Latest event

Lost on division

Last updated

Nov 18, 2024

Sponsor

Stephanie Bowman

Official Legislative Assembly of Ontario snapshot for 43rd Parliament, 1st Session. Representative vote breakdowns appear when the Assembly publishes an Ayes and Nays page for the bill.

Chamber

Legislative Assembly of Ontario

Current Stage

Lost on division

Latest Activity

Nov 18, 2024

Sponsor

Stephanie Bowman

Plain-language explanation

In plain English (our explanation)

Our plain-language take, written for civic education.

Source: By PoliticalData.ca

AI-assisted, reviewed before publishing

Short Version

Bill 195, the Cutting Taxes on Small Businesses Act, 2024, amends the Taxation Act, 2007 to increase the Ontario small business deduction rate and the business limit, and adjusts the surtax calculation, effective January 1, 2024.

What It Means

Bill 195, the Cutting Taxes on Small Businesses Act, 2024, proposes changes to Ontario's tax laws. It aims to increase the Ontario small business deduction rate and the business limit for the small business deduction. These changes are intended to provide tax relief to small businesses. The bill also adjusts a formula related to surtax calculations for Ontario small businesses to align with the increased business limit. The proposed changes are deemed to have come into effect on January 1, 2024.

What This Bill Does

Increases the Ontario small business deduction rate from 8.3 per cent to 9.9 per cent.
Increases the business limit for the small business deduction from $500,000 to $600,000 for a taxation year.
Amends the formula used to calculate the surtax for Ontario small businesses to reflect the increased business limit.
Makes these changes retroactive to January 1, 2024.

Who Is Affected

Small businesses operating in Ontario.
The Government of Ontario (through tax revenue implications).

Rights, Duties, Or Obligations

Small businesses will benefit from an increased Ontario small business deduction rate and a higher business limit, potentially reducing their tax liability.
The calculation of surtax for small businesses is affected by the change in the business limit.

Important Dates

The Act is deemed to have come into force on January 1, 2024.

Financial Or Tax Impacts

The bill is expected to decrease the amount of corporate income tax paid by eligible small businesses in Ontario due to the increased deduction.
The overall tax revenue for the Province of Ontario may be reduced as a result of these changes.

Uncertainties Or Limits

The specific details of how the 'ratio of the number of days in the taxation year' will be applied in the amended subsection 31(4) are not fully detailed in the provided text, beyond its inclusion in the calculation.
The precise financial impact on individual small businesses will vary based on their specific circumstances, such as their total taxable income and the number of days in their taxation year.

Laws Or Regulations Affected

Taxation Act, 2007

amends

The bill amends various sections of the Taxation Act, 2007, including sections related to the Ontario small business deduction rate, the business limit for this deduction, and the formula for calculating surtax for small businesses. Specifically, it changes subsection 31(4), 31(5), 31(5.1)(a), and the formula in clause 32(1)(b).

Source: Section 1, Section 2

Generated using AI from official bill text. Not legal advice. It is written by PoliticalData.ca for civic education, automatically checked and spot-reviewed before publishing.

Official text

Process Snapshot

Step 1

First reading

May 14, 2024

Step 2

Second reading

Nov 18, 2024

Step 3

Committee review

Not reached yet

Step 4

Third reading

Not reached yet

Step 5

Royal assent

Not reached yet

Vote Summary

Yes

Abstain

Absent / Other

Final recorded vote

Nov 18, 2024

99 representative positions are recorded in this official snapshot for this vote.

Sponsor

Stephanie Bowman

Ontario Liberal Party | Don Valley West

Jurisdiction

Ontario Legislature

Representative Voting Breakdown

Vote badges include text labels so the table stays readable for everyone, even without color cues alone.

Representative	Role	Riding	Party	Vote	Notes
Stephanie BowmanSponsor MPP	MPP	Don Valley West	Ontario Liberal Party	Yes	Recorded without an additional note.
Adil Shamji MPP	MPP	Don Valley East	Ontario Liberal Party	Yes	Recorded without an additional note.
Aislinn Clancy MPP	MPP	Kitchener Centre	Green Party of Ontario	Yes	Recorded without an additional note.
Andrea Hazell MPP	MPP	Scarborough—Guildwood	Ontario Liberal Party	Yes	Recorded without an additional note.
Bhutila Karpoche MPP	MPP	Parkdale—High Park	New Democratic Party of Ontario	Yes	Recorded without an additional note.
Bobbi Ann Brady MPP	MPP	Haldimand—Norfolk	Independent	Yes	Recorded without an additional note.
Catherine Fife MPP	MPP	Waterloo	New Democratic Party of Ontario	Yes	Recorded without an additional note.
Chandra Pasma MPP	MPP	Ottawa West—Nepean	New Democratic Party of Ontario	Yes	Recorded without an additional note.
Doly Begum MPP	MPP	Scarborough Southwest	New Democratic Party of Ontario	Yes	Recorded without an additional note.
France Gélinas MPP	MPP	Nickel Belt	New Democratic Party of Ontario	Yes	Recorded without an additional note.
Guy Bourgouin MPP	MPP	Mushkegowuk—James Bay	New Democratic Party of Ontario	Yes	Recorded without an additional note.
Jamie West MPP	MPP	Sudbury	New Democratic Party of Ontario	Yes	Recorded without an additional note.
Jeff Burch MPP	MPP	Niagara Centre	New Democratic Party of Ontario	Yes	Recorded without an additional note.
Jennifer (Jennie) Stevens MPP	MPP	St. Catharines	New Democratic Party of Ontario	Yes	Recorded without an additional note.
Jennifer K. French MPP	MPP	Oshawa	New Democratic Party of Ontario	Yes	Recorded without an additional note.
Jessica Bell MPP	MPP	University—Rosedale	New Democratic Party of Ontario	Yes	Recorded without an additional note.
Jill Andrew MPP	MPP	Toronto—St. Paul's	New Democratic Party of Ontario	Yes	Recorded without an additional note.
Joel Harden MPP	MPP	Ottawa Centre	New Democratic Party of Ontario	Yes	Recorded without an additional note.
John Fraser MPP	MPP	Ottawa South	Ontario Liberal Party	Yes	Recorded without an additional note.
John Vanthof MPP	MPP	Timiskaming—Cochrane	New Democratic Party of Ontario	Yes	Recorded without an additional note.
Karen McCrimmon MPP	MPP	Kanata—Carleton	Ontario Liberal Party	Yes	Recorded without an additional note.
Kristyn Wong-Tam MPP	MPP	Toronto Centre	New Democratic Party of Ontario	Yes	Recorded without an additional note.
Lise Vaugeois MPP	MPP	Thunder Bay—Superior North	New Democratic Party of Ontario	Yes	Recorded without an additional note.
Lucille Collard MPP	MPP	Ottawa—Vanier	Ontario Liberal Party	Yes	Recorded without an additional note.
Marit Stiles MPP	MPP	Davenport	New Democratic Party of Ontario	Yes	Recorded without an additional note.
Mary-Margaret McMahon MPP	MPP	Beaches—East York	Ontario Liberal Party	Yes	Recorded without an additional note.
Mike Schreiner MPP	MPP	Guelph	Green Party of Ontario	Yes	Recorded without an additional note.
Monique Taylor MPP	MPP	Hamilton Mountain	New Democratic Party of Ontario	Yes	Recorded without an additional note.
Peggy Sattler MPP	MPP	London West	New Democratic Party of Ontario	Yes	Recorded without an additional note.
Peter Tabuns MPP	MPP	Toronto—Danforth	New Democratic Party of Ontario	Yes	Recorded without an additional note.
Sandy Shaw MPP	MPP	Hamilton West—Ancaster—Dundas	New Democratic Party of Ontario	Yes	Recorded without an additional note.
Sarah Jama MPP	MPP	Hamilton Centre	Independent	Yes	Recorded without an additional note.
Ted Hsu MPP	MPP	Kingston and the Islands	Ontario Liberal Party	Yes	Recorded without an additional note.
Terence Kernaghan MPP	MPP	London North Centre	New Democratic Party of Ontario	Yes	Recorded without an additional note.
Tom Rakocevic MPP	MPP	Humber River—Black Creek	New Democratic Party of Ontario	Yes	Recorded without an additional note.
Amarjot Sandhu MPP	MPP	Brampton West	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
Andrew Dowie MPP	MPP	Windsor—Tecumseh	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
Anthony Leardi MPP	MPP	Essex	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
Aris Babikian MPP	MPP	Scarborough—Agincourt	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
Billy Pang MPP	MPP	Markham—Unionville	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
Brian Riddell MPP	MPP	Cambridge	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
Brian Saunderson MPP	MPP	Simcoe—Grey	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
Christine Hogarth MPP	MPP	Etobicoke—Lakeshore	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
Daisy Wai MPP	MPP	Richmond Hill	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
Dave Smith MPP	MPP	Peterborough—Kawartha	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
David Smith MPP	MPP	Scarborough Centre	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
Dawn Gallagher Murphy MPP	MPP	Newmarket—Aurora	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
Deepak Anand MPP	MPP	Mississauga—Malton	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
Effie J. Triantafilopoulos MPP	MPP	Oakville North—Burlington	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
Hardeep Singh Grewal MPP	MPP	Brampton East	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
Hon. Caroline Mulroney MPP	MPP	York—Simcoe	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
Hon. David Piccini MPP	MPP	Northumberland—Peterborough South	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
Hon. Donna Skelly MPP	MPP	Flamborough—Glanbrook	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
Hon. Doug Downey MPP	MPP	Barrie—Springwater—Oro-Medonte	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
Hon. Ernie Hardeman MPP	MPP	Oxford	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
Hon. George Pirie MPP	MPP	Timmins	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
Hon. Graham McGregor MPP	MPP	Brampton North	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
Hon. Graydon Smith MPP	MPP	Parry Sound—Muskoka	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
Hon. Jill Dunlop MPP	MPP	Simcoe North	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
Hon. Kevin Holland MPP	MPP	Thunder Bay—Atikokan	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
Hon. Kinga Surma MPP	MPP	Etobicoke Centre	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
Hon. Laurie Scott MPP	MPP	Haliburton—Kawartha Lakes—Brock	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
Hon. Lisa M. Thompson MPP	MPP	Huron—Bruce	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
Hon. Michael A. Tibollo MPP	MPP	Vaughan—Woodbridge	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
Hon. Michael Parsa MPP	MPP	Aurora—Oak Ridges—Richmond Hill	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
Hon. Michael S. Kerzner MPP	MPP	York Centre	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
Hon. Mike Harris MPP	MPP	Kitchener—Conestoga	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
Hon. Nina Tangri MPP	MPP	Mississauga—Streetsville	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
Hon. Nolan Quinn MPP	MPP	Stormont—Dundas—South Glengarry	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
Hon. Paul Calandra MPP	MPP	Markham—Stouffville	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
Hon. Peter Bethlenfalvy MPP	MPP	Pickering—Uxbridge	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
Hon. Prabmeet Singh Sarkaria MPP	MPP	Brampton South	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
Hon. Raymond Sung Joon Cho MPP	MPP	Scarborough North	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
Hon. Sam Oosterhoff MPP	MPP	Niagara West	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
Hon. Stan Cho MPP	MPP	Willowdale	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
Hon. Stephen Crawford MPP	MPP	Oakville	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
Hon. Steve Clark MPP	MPP	Leeds—Grenville—Thousand Islands and Rideau Lakes	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
Hon. Sylvia Jones MPP	MPP	Dufferin—Caledon	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
Hon. Trevor Jones MPP	MPP	Chatham-Kent—Leamington	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
Hon. Victor Fedeli MPP	MPP	Nipissing	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
Hon. Vijay Thanigasalam MPP	MPP	Scarborough—Rouge Park	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
Hon. Zee Hamid MPP	MPP	Milton	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
Jess Dixon MPP	MPP	Kitchener South—Hespeler	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
John Jordan MPP	MPP	Lanark—Frontenac—Kingston	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
John Yakabuski MPP	MPP	Renfrew—Nipissing—Pembroke	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
Laura Smith MPP	MPP	Thornhill	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
Logan Kanapathi MPP	MPP	Markham—Thornhill	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
Lorne Coe MPP	MPP	Whitby	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
Matthew Rae MPP	MPP	Perth—Wellington	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
Natalie Pierre MPP	MPP	Burlington	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
Patrice Barnes MPP	MPP	Ajax	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
Ric Bresee MPP	MPP	Hastings—Lennox and Addington	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
Rick Byers MPP	MPP	Bruce—Grey—Owen Sound	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
Robert Bailey MPP	MPP	Sarnia—Lambton	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
Robin Martin MPP	MPP	Eglinton—Lawrence	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
Rudy Cuzzetto MPP	MPP	Mississauga—Lakeshore	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
Sheref Sabawy MPP	MPP	Mississauga—Erin Mills	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
Stéphane Sarrazin MPP	MPP	Glengarry—Prescott—Russell	Progressive Conservative Party of Ontario	No	Recorded without an additional note.
Steve Pinsonneault MPP	MPP	Lambton—Kent—Middlesex	Progressive Conservative Party of Ontario	No	Recorded without an additional note.

Official sources

Status, sponsor, votes, and timeline on this page are drawn from these official legislative sources and public records. Each summary above is attributed to its own source.

How this data is sourced