A village that kills its convenience stores by raising its taxes 49%

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Nathalie Inkel, owner of the convenience store-bistro-bar Manor-Fast, a business in the village of Preissac, in Abitibi, which includes a bar, says that the tax hike decreed you will have to close its doors on 31 December.

Caroline Lepage

Thursday, 25 January 2018 01:00

UPDATE
Thursday, 25 January 2018 01:00

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PREISSAC | A village in Abitibi has raised the taxes for his businesses from 49 % to pick up $ 600,000 from most gold mines. The two convenience stores say they would not be able to survive this increase.

The only two convenience stores de Preissac, a village of 800 inhabitants, located between Rouyn-Noranda and Amos, have announced they are closing because, they say, of the increase of municipal tax of 49 % imposed on businesses by 2018.

“We do already,” exclaims Lise Goulet, who owns the convenience store, the 4 Seasons, with his or her spouse.

Since the purchase of the trade, three years ago, the couple has to spend his own money to roll the business.

With this increase, their tax bill is expected to climb from 2500 $ to 3700 $.

“It doesn’t make sense “, expresses the one who works about 70 hours per week.

If nothing changes, Nathalie Inkel the store-bistro-bar Manor-Fast will also the key in the door at the end of 2018.

His tax account will be increased from 4000 $ to 5800 $. After the increase in the minimum wage to $ 12 per hour and the increase of taxes, it will not balance the budget, already in deficit in certain months.

20 km to the milk

According to Mrs. Inkel, the residents will have to make about twenty kilometers to buy milk or fill up gas after the closure of the two convenience stores.

“That’s not counting our 20 employees who will lose their jobs “, dénonce-t-it.

This significant increase in taxes on non-residential buildings aims primarily to seek $ 600,000 in each year of the gold mines in The Round, and Westwood, who are located on its territory. For the mines, rather, it is an increase of 53 %.

According to the director general of Preissac, Gérard Trouble, it is the maximum that the municipality may impose, according to the law.

Under a new tax rule, which is the result of the Act 122, Preissac should increase the tax of the shops, even if they do not roll on gold.

Mr. Pétrin note that the citizens already consume heavily in Amos and Rouyn-Noranda, and the few shops of the Preissac are precarious.

“Sometimes it’s necessary to let things go “, believes the one who manages a municipality in very good financial health. According to him, the municipality has many projects, such as the purchase of a fire truck.

Exodus

Since the adoption of the budget, the contractor Sébastien Martel questions the construction of her garage sales because of the tax rate, and plans to sell his house.

Industrial side, the vice-president of Thermodoor, Marilyn Pelchat, finds exaggerated the tax increase by about 50 % since 2016.

The company wants to relocate to be closer to the workforce.

“You don’t see more benefits to be distant,” she said.