Yes, that's an interesting subject.
The government's goal, as you know, is to double exports to countries other than the United States by 2035. Diversification is an important goal. Other countries, including the United States, have tax incentive models for that. For example, the United States has the Foreign-Derived Intangible Income, or FDII, which allows companies to pay less tax on a portion of their revenue from exports to new markets in the goods sector. We think it would be a good idea for Canada to do something similar.
Another way to do that would be to grant tax credits to cover a portion of the business development expenses that small and medium-sized businesses incur to develop new international markets.
Those are two approaches the government could consider to move in that direction.
