Businesses weigh in on government’s plan to reduce credit card fees
The federal government is touting plans to help small businesses by reducing credit card fees, but some local merchants say while they welcome the measure, the actual impact it will have on their operations will be minimal.
The 2023 budget, released Tuesday, confirms a deal to lower the credit card fees paid by small businesses by up to 27 per cent.
David Worsley, co-owner of Words Worth Books in Uptown Waterloo, is no stranger to the fees associated with credit cards. (CTV Kitchener/Spencer Turcotte)
“No small business is going to say no to a few extra nickels,” said David Worsley, co-owner of Words Worth Books in Uptown Waterloo.
He says cash sales at his store are rare, and credit cards are involved in a significant chunk of transactions.
He’s no stranger to credit card fees and welcomes the move by the federal government to reduce them.
“But it's low-hanging fruit. It's not really a game changer.”
Worsley says ultimately, credit card fees are low on the list of things that keep him awake at night.
“Some quick back of the envelope math suggests it might pay for an invoice here or there. Of course it will. But will it change the game? Will it allow any prospective small business owner to say 'OK great, now I can do X.' Not really,” Worsley said.
He says tax relief is what small businesses truly need.
CFIB APPLAUDS MOVE
The Canadian Federation of Independent Business (CFIB) says lower credit card fees could help with COVID-19 recovery efforts and is significant considering Canada has some of the highest fees to accept credit cards in the world.
“Reducing fees to accept credit card payments will help businesses deal with the increased cost of doing business,” said Jasmin Guenette, vice-president of National Affairs with CFIB.
“If a small business can save up to $1,000 a year in credit card fees -- that's money they can reinvest in their business.”
CTVNews.ca Top Stories
Deadly six-vehicle crash on Highway 400 sparked by road rage incident
One person was killed in a six-vehicle crash on Highway 400 in Innisfil Friday evening.
'Of course, yes': Poland latest European country with interest in Canadian LNG
The President of Poland says his country would 'of course' be interested in purchasing Canadian liquefied natural gas if it were available, while the Canadian federal government has said it is 'not interested' in subsidizing future projects.
Here's where Canadians are living abroad: report
A recent report sheds light on Canadians living abroad--estimated at around four million people in 2016—and the public policies that impact them.
Dozens in Italy give a fascist salute on the anniversary of Mussolini's execution
Dozens of people raised their arms in the fascist salute and shouted a fascist chant during ceremonies Sunday to honor Italian dictator Benito Mussolini on the 79th anniversary of his execution.
Chants of 'shame on you' greet guests arriving for the annual White House correspondents' dinner
An election-year roast of U.S. President Joe Biden before journalists, celebrities and politicians at the annual White House correspondents' dinner Saturday.
Invasive and toxic hammerhead worms make themselves at home in Ontario
Ontario is now home to an invasive and toxic worm species that can grow up to three feet long and can be dangerous to small animals and pets.
Health minister 'deeply appreciative' of doctors but capital gains changes here to stay
Health Minister Mark Holland says while he is 'deeply appreciative' of the work doctors in Canada do, the federal government has no plans to scrap the proposed capital gains tax changes outlined in the latest budget, despite opposition from the Canadian Medical Association.
Opinion I just don't get Taylor Swift
It's one thing to say you like Taylor Swift and her music, but don't blame CNN's AJ Willingham's when she says she just 'doesn't get' the global phenomenon.
Sophie Gregoire Trudeau on navigating post-political life, co-parenting and freedom
Sophie Gregoire Trudeau says there is 'still so much love' between her and Prime Minister Justin Trudeau, as they navigate their post-separation relationship co-parenting their three children.