A win for members! Quebec reduces red tape for licensees
(Mar. 22/12) The Quebec government has followed through on its commitment to CRFA to make much-needed changes to the liquor permit system. The changes will mean less red tape for your business and better service for your customers.
The March 20 Quebec budget contained changes to the Act Respecting Liquor Permits which will result in:
- a new single permit system that no longer requires you to have one permit per room and a separate permit for patios;
- permission to re-cork unfinished bottles so customers may take them home.
CRFA action
Having to apply for up to six permits for a single restaurant has been a long-time irritant to Quebec licensees. As a result, CRFA has pushed government to modernize the system. Over the past year, we:
- persuaded the Economic Development Minister Clément Gignac to set up a red tape committee, with our recommended changes being included in the committee’s report;
- put forth our permit recommendations to the Régie des alcools, des jeux et des courses du Québec (RAJCQ), where they were accepted; and
- pushed through our recommendations in the final report to Cabinet.
Tackling taxes
Although the Quebec budget didn’t include new taxes – a relief for restaurateurs still stinging from the increases in provincial sales taxes and payroll taxes (QPP) – tax relief was disappointingly absent.
In the labour-intensive restaurant industry, 30 cents of every dollar in sales goes toward payroll costs. Additionally, Quebec employers pay significantly higher payroll taxes than any other jurisdiction in Canada.
The budget includes a tax credit for hiring experienced workers over the age of 65, but not for employers providing first-job experience. If government intends to promote employment growth and economic prosperity, it must take further steps to reduce profit-insensitive, job-killing payroll taxes that hurt a restaurant’s ability to retain and create jobs.