Mr. Speaker, I want to ask my colleague from the NDP a question I am sure he has heard before, but I have not heard a good enough answer yet. Maybe he can do a better job.
The question is about the member's statement concerning the tax rate for small businesses. As he knows, large businesses are taxed at a higher rate. Therefore, as one grows from a small business to a large business, the marginal tax on the extra profits is very high, because the tax rate goes up. The business increases a little bit, and all of a sudden, the whole business is taxed at this higher rate. It is kind of a distortion and a perverse incentive.
If they want to decrease the small business tax rate, how do they compensate for this disincentive to grow past this boundary between small and large businesses?