June 17, 2014 11:30 am
Updated: June 17, 2014 11:43 am

Winnipeg’s tax competitiveness falls following PST increase

Winnipeg's downtown seen from Portage and Main in June 2014

Peter Chura/Global News

WINNIPEG – Winnipeg ranks 14th out of 15 Canadian cities for tax competitiveness, according to a new report by auditor KPMG.

The Competitive Alternatives: Focus on Tax report cites the increase in Manitoba’s sales tax to 8 per cent from 7 per cent as the primary reason why Winnipeg fell behind both Quebec City and Montreal, with only Sudbury ranking below Winnipeg.


Winnipeg did best in its ranking for research and development, ranking fifth among the 15 cities. Manitoba’s partially refundable research and development tax credit helped the city’s ranking, a news release from KPMG said.

Winnipeg ranked 14th for the digital services and corporate services sectors, with both the municipal business tax and the PST causing high costs, KPMG said.

The city ranked 11th for the manufacturing sector.

The report ranked Canada as the most tax competitive country for business in the world.

Edmonton is the most tax competitive city in Canada, the report states.

Here’s how KPMG ranked the tax competitiveness of 15 Canadian urban centres:

  • Edmonton
  • Moncton, N.B.
  • Fredericton
  • St. John’s, N.L.
  • Halifax
  • Saskatoon
  • Charlottetown
  • Toronto
  • Quebec City
  • Niagara Region, Ont.
  • Vancouver
  • Montreal
  • Kamloops, B.C.
  • Winnipeg
  • Sudbury, Ont.

© 2014 Shaw Media

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