Saturday, September 13, 2025

Latest

Canada Reverses Capital Gains Hike

Prime Minister Mark Carney confirmed the cancellation of a proposed increase to Canada’s capital gains inclusion rate—a measure that, less than a year ago, was touted as vital for funding social programs, spurring clean energy, and championing tax fairness.

Last year, then–Minister François-Philippe Champagne, speaking in the House of Commons, defended the planned increase in the capital gains inclusion rate as a critical way to finance the green energy transition and bolster the middle class.

“These changes will not only allow us to pay for the green energy transition,” Champagne declared, “but they will also create jobs for this and future generations.”

The government of the day characterized this move as a form of “tax fairness,” arguing that gains accrued from investments should be taxed at higher rates to support new spending on social, environmental, and infrastructure projects.

By early 2025, the pendulum had swung: the new government explicitly prioritized fostering private-sector job creation and, in Carney’s words, “rewarding [builders] when they succeed.”

In announcing the repeal, Carney emphasized the importance of building “one Canadian economy – the strongest economy in the G7,” suggesting that higher taxes on capital gains risked undermining that vision.

Champagne now struck a markedly different tone compared to his statements the previous summer. While still advocating for robust investment in social programs, he acknowledged the new direction set by Carney, stating on social media that “by canceling the capital gains tax hike, we’re supporting builders, small businesses, and entrepreneurs—those who take risks to create jobs and drive our economy forward.”

Alongside canceling the inclusion-rate increase, Carney’s administration opted to maintain a separate measure introduced under the prior government: the increase in the Lifetime Capital Gains Exemption limit to $1,250,000 on the sale of small-business shares and certain farming and fishing properties.

In doing so, Carney’s administration aims to reassure investors, entrepreneurs, and even foreign companies that Canada remains fertile ground for big, risk-taking ventures.


Information for this briefing was found via the sources mentioned. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

Video Articles

Avino Q2 Earnings: Steady As She Goes

MEG Energy: Cenovus Comes In With $7.9 BILLION Offer

Orla Mining Q2 Earnings: Musselwhite Changes Everything

Recommended

Northern Superior Expands Philibert With 350 Metre Step Out Testing 1.10 g/t Gold Over 25.5 Metres

Goliath Resources Hits 18.58 g/t Gold Over 5.00 Metres At Surebet

Related News

Biden Proposes Highest Capital Gains Tax Rate Increase In A Century

US President Joe Biden has put forth a bold proposal in the Fiscal Year 2025...

Friday, April 26, 2024, 03:56:00 PM

Taxpayer Group Takes CRA to Court Over Capital Gains Tax

The Canadian Taxpayers Federation has filed a legal challenge against the Canada Revenue Agency, seeking...

Wednesday, January 29, 2025, 07:24:27 AM

Conservatives Refuse To Commit To Repealing Capital Gains Tax Changes

Despite their strong criticism of the federal budget, the Conservative Party of Canada is not...

Sunday, April 21, 2024, 11:47:00 AM

Canada Poised to Implement Capital Gains Tax Hike Without Parliamentary Approval

The Liberal government has announced its intention to introduce legislation to implement the proposed changes...

Thursday, May 23, 2024, 03:40:00 PM

Biden Administration Eyes Raising Capital Gains Tax to 43.4% to Fund $1.5 Trillion ‘Human Infrastructure Package’

US markets were sent into a tailspin on Thursday, after details surrounding the Biden administration’s...

Thursday, April 22, 2021, 04:51:57 PM