Mar 17, 2020

NMMA Day on the HillThe Day on the Hill lobby group in Ottawa, February 26, 2020.

Following its seventh annual “Day on the Hill” lobby day in Ottawa last month, NMMA Canada is continuing to advocate against the federal government’s proposed 10% luxury tax on recreational boats over $100,000. History has shown that similar taxes have failed to raise the expected revenue for governments while putting thousands of rural and small-town jobs at risk. The industry believes there are other financial measures that can be applied instead of a tax that would be beneficial to government and less impactful on industry.
 
To that end, NMMA Canada is keeping the dialogue open with government MPs and staff. Following the Ottawa meetings, federal Finance Committee chair the Hon. Wayne Easter asked for input on alternatives to the luxury tax and NMMA Canada and the provincial marine trade associations submitted a joint response. For example, the government could consider imposing a licensing fee on boats upon purchase to generate additional revenue while also helping bolster Transport Canada’s data collection on boats in use across the country. The industry would also expect some of the fees to be used to improve infrastructure and access for boaters.
 
NMMA Canada also met with Terry Sheehan, Parliamentary Secretary to the federal Minister of Economic Development, at a recent funding announcement at Connor Industries in Parry Sound, Ontario. NMMA Canada president Sara Anghel outlined the projected economic damage of a luxury tax and stressed the impact on middle-class jobs. Mr. Sheehan committed to bring the industry’s concerns to the attention of federal finance minister Bill Morneau as soon as possible.
 
NMMA Canada and the marine trade associations will keep working constructively with the government on alternatives to the damaging and unnecessary proposed luxury tax.

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