Economic Development – Ensuring prosperity for the Toronto region

The Board of Trade is focused on creating the conditions to encourage economic growth, as well as boost productivity, job creation and quality of life in the Toronto region.  Developing and promoting our region’s strengths as a knowledge economy is a top priority.  Smart taxation and tax reform, including leveling the GTA realty tax playing field, are also areas of focus.

The Board works closely with all three levels of government to create policies that advance commercialization, innovation and research and development.

Recent Success Stories

The 2009 Ontario Budget provided important successes for businesses in the Toronto region, with the provincial government acting on nearly all of the Board’s recommendations.  Key measures including harmonization of the GST and PST; reductions of both the provincial corporate tax rate and the corporate minimum tax rate; nearly $1.5 billion for the green economy, research and innovation; and more than $9 billion in transportation and transit infrastructure spending over the next two years.

The Board advised and worked closely with the City of Toronto on the creation of Invest Toronto and Build Toronto (the successors to the Toronto Economic Development Corporation), both of which are vital to enhancing Toronto’s economic development.

The Board advocated for an economic development leader at the municipal level of government, resulting in the appointment of a Senior Economic Advisor in the Mayor’s Office.

The Board championed the introduction of Tax Increment Equivalency Grants (TIEGs), one of the new powers available under the City of Toronto Act, 2008.  TIEGs allow the City to rebate a portion of the incremental realty tax increases associated with commercial or industrial property redevelopment.  Coupled with provincial property tax reforms – also championed by the Board – TIEGs accelerate the reduction of the differences in commercial and industrial realty taxes between the city centre and the surrounding municipalities of the Toronto region.

The Board successfully lobbied the provincial government to lower the Business Education Tax, as announced in the 2007 Ontario Budget.  By 2014, this move will result in an annual savings of approximately $200 million for Toronto businesses.