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Minister says food safe.....

MANITOBA RATED SECOND IN CANADA FOR COMPETITIVENESS IN MINING TAXES

Oc 16, 2009 - Manitoba's Mining Tax Regime Excels In Report: Rondeau.

Ruttan Lk. Mine.
MB Gov't. photo

Manitoba has been rated among the most competitive provinces for mining activity in Canada, ranking number two in the country for the competitiveness of its mining tax regime, according to the PricewaterhouseCoopers (PWC) 2009 Canadian mining tax report, Science, Technology Energy and Mines Minister Jim Rondeau said today.

"The ranking by PricewaterhouseCoopers is welcome news as it confirms our commitment to support and strengthen the minerals industry in Manitoba," said Rondeau. "The incentives government provides, combined with our rich resources, continue to be a solid economic driver for the province's mining industry." Rondeau noted the province is committed to investing in mineral exploration and mining, and working with industry to boost the economic opportunities the sector offers. He said companies are attracted to Manitoba because of its policies for mineral investment that make it one of the best places in the world to explore. "The mining industry is appreciative that Manitoba has worked with the industry to improve Manitoba's competitive taxation climate for new mines," said Ed Huebert, executive vice-president of the Mining Association of Manitoba. "The PricewaterhouseCoopers report, which analyzes the tax impact for a hypothetical new mine, shows that Manitoba has improved to second best in Canada from a taxation perspective. We look forward to a continued dialogue that will allow the industry to invest in Manitoba and increase their economic contribution to the province." The minister noted tax initiatives announced in Budget 2009 helped achieve the biggest increase of any province in the competitiveness of its mining tax system. He said, according to the PWC report, the overall Manitoba tax rate for a sample Manitoba mining operation dropped to 19 per cent from 28 per cent. Recent initiatives to support the mining industry in Manitoba include: - reducing the mining tax; - extending the mineral exploration tax credit by three years to 2012; - reducing the general corporate income tax rate to 12 per cent; - phasing out the general corporation capital tax; - extending the Mineral Exploration Assistance Program and the Prospectors' Assistance Program, which offer approximately $2.5 million in annual funding to support exploration; - entering into a $3 million partnership with the federal government to remap Manitoba's far north; and - initiating a new, $1-million Training and Workforce Retention Initiative. The mineral industry is Manitoba's second-largest primary resource industry. The 2008 value of mineral production for metals, industrial minerals and petroleum totalled $2.5 billion and the industry employed an average 5,200 workers directly with another 18,000 in spinoff jobs. Company spending for mineral exploration reached an all-time high of $141.5 million in 2008. The PriceWaterhouseCoopers report on mining taxation in Canada is a biannual assessment of the relative tax competitiveness of Canadian jurisdictions. The full report can be accessed here.

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EDITOR'S NOTE: This is called "governing from the centre." Giving away our precious resources for next to nothing in these heady days of de-regulators and free marketeers is actually seen as a badge of honour. Making corportations pay their fair share so we can enjoy decent human services is now old-fashioned, perhaps even communistic. Human health! Environment! Beware! The centrists are on the loose! l.p.

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