An NDP government would take action to “end corporate welfare” and also introduce a “moderate” tax hike on big businesses so they pay their “fair share.”

At the same time, Tom Mulcair’s New Democrats would lower taxes for small and medium-sized businesses and offer “targeted” tax breaks for companies that invest in innovation.

Those were the messages Tuesday from two of the party’s senior candidates — Andrew Thomson, a former Saskatchewan finance minister, and Peggy Nash, the party’s industry critic.

Both candidates appeared at a news conference Tuesday to promote the party’s economic plan in the wake of news that Canada sunk into a recession in the first half of 2015.

Thomson and Nash promised a “prudent” plan that creates jobs, particularly in the manufacturing sector, and provides a balanced budget.

They defended the NDP’s plan to hike corporate taxes so that the federal government has resources to pay for programs and Canadian taxpayers don’t bear an unfair burden for the tab.

The NDP continued to keep a lid Tuesday on how much of a hike it would place on the existing corporate 15-per-cent tax. Instead, it says those details will emerge sometime later in the campaign, once the party releases its fully costed platform.

For the first time, the party is in contention to win a federal election. It is cautiously approaching the issue of corporate tax hikes to avoid giving political ammunition to Conservative and Liberal opponents who warn of corporate job losses if the NDP takes power.

Thomson said he believes the country’s business community already “understands” the NDP brings a “balanced approach” to governing.

“There have been New Democratic governments across this country (where) business has thrived under them. That is exactly the kind of approach, a co-operative approach, that we plan to bring forward.

“That said, we have also been very honest and upfront – saying that we do need to balance and rebalance the tax burden in the country.

“So we are saying that, yes indeed, there will be targeted incentives for growth, but at the same time there do need to be some increases in corporate taxes.”

Nash concurred and took a swipe at the Liberals, who say the NDP’s corporate tax hike will slow down an already sluggish economy.

“Justin Trudeau is asking you to take on more debt so that he doesn’t have to ask the largest corporations to pay their fair share. That is not responsible and that is not progressive.”

In the 2011 election, the NDP led by Jack Layton proposed to hike the corporate tax to 19.5 per cent. Now, with Mulcair leading the party, it’s widely expected the tax hike wouldn’t be so steep.

In Kelowna, B.C., Mulcair reiterated that corporate taxes would be increased “reasonably.”

Nash said it would be a “moderate” hike. “It will be below our major trading partners so that it will be affordable by business.”

In a 2014 speech to the Teamsters, Mulcair used strong language describing the need for corporate tax hikes. He said companies are the “only ones in our society not paying their fair share.”

“They benefit most from our institutions, police, the courts, infrastructure, education,” Mulcair said at the time. “These are the institutions that helped them to get rich but now they want to stick someone else with the bill. There’s a word for that: freeloader.”

At Tuesday’s news conference, Thomson was reminded of that quote and asked if corporations are getting a free ride.

“No, I don’t think that that’s the question. The question is how do we end the corporate welfare that’s out there?”

In that regard. Thomson promised the NDP will close a loophole that primarily benefits CEOs and other wealthy Canadians who shelter their income as stock options. A New Democratic government would then funnel the tax revenue generated from that ($750 million in 2014) to benefits for low-income families.

As well, Thomson said the NDP would stop giving subsidies to the oil and gas sector.

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