Deputy Prime Minister and Minister of Finance Chrystia Freeland released her second budget on April 7, 2022. There are no increases to the capital gains inclusion rate nor increases in personal income tax rates. In general, there are no increases in the corporate income tax rates, except for certain changes announced for bank and life insurers. Changes are proposed to the small business deduction to allow more Canadian-controlled private corporations to gain access to the small business limit by modifying the grind to the business limit based on taxable capital. The budget also contains proposed tax measures to make housing more affordable as well as a proposal to introduce a residential property flipping rule.
For a summary of the tax highlights of the 2022-2023 federal budget, please click on the link below and contact your SLF adviser should you have any questions or require additional information.