(Toronto, Canada) - Ontario proposed more than $8 billion in provincial tax relief over five years on October 28, aiming to let eligible businesses deduct the full cost of a broader range of capital investments immediately.

The province’s Competitiveness Tax Cut would parallel Ottawa’s Productivity Mega Deduction. Ontario says implementation would follow passage of federal legislation; the announcement does not establish that businesses can already claim every proposed writeoff.

Examples include machinery, software, fibre-optic cable, aircraft and certain vehicles. Immediate expensing allows eligible costs to be deducted sooner rather than spread over years.

The government projects at least $11 billion in additional investment and 30,000 jobs. Those are forecasts, not investments received or jobs already created. Its October 29 fall economic statement is expected to provide further details.

Sources: Ontario’s October 28 release; Canadian Press report; federal policy background.

Editorial illustration of business investment and tax accounting.