Trade tiff: Alberta premier checking if Saskatchewan's Wall breaking rules
- Author: Zachary Reyes Apr 02, 2017,
Apr 02, 2017, 3:47
In a letter to Whitecap Resources dated Monday, Mr.
"We are letting folks know about existing policies".
"We're going to tell that story; we've been doing this for a long time".
It was also noted in the statement that the incentives Wall is offering companies to move have been in place for a few years and that "cash is not paid to companies to attract them to relocate or create jobs in Saskatchewan" but tax incentives - meaning those companies pay less taxes - are provided.
"I know they're upset perhaps in the US about the trade relationship with some countries, but they need to remember that Canada is a different situation".
Saskatchewan Premier Brad Wall has sent letters to many Alberta-based businesses, inviting them to take advantage of his province's tax incentives.
Notley says her government wants to see if Wall is breaching the New West Partnership Agreement between British Columbia, Alberta, Manitoba and Saskatchewan.
Article 12 of the NWTP says "Parties shall not directly or indirectly provide business subsidies that entire or assist the relocation from another Party" while the federal Agreement on Internal Trade says "a government is prohibited from offering incentives that entice a business to relocate in that province".
Speaking in Regina, Wall said he doesn't believe he is violating any trade agreements, although he acknowledged he did not consult legal counsel before sending the letters.
And last week the premiers traded barbs over their budgets.
Wall, in his pitch to Calgary's corporate sector, highlighted reductions to corporate and personal income taxes, and has vowed that, unlike Alberta, his province will not have a carbon tax.
"Given these major tax changes and your production presence in our province, I would therefore like to formally ask you to consider a relocation of your head office from Calgary to Saskatchewan", reads the letter.
She said Wall's approach is not one that will help grow the economy.
"We have a disastrous budget on this front, a billion dollars in tax hikes in a budget that really devastates small business across Saskatchewan", Wotherspoon said. Wall over each other's provincial budgets.