The 2024 Federal Budget of Canada was made public on April 16, 2024. Delivered by Deputy Prime Minister and Finance Minister Chrystia Freeland, The Budget will address many concerns at the forefront of the Canadian business economy. It will offer insight into measures in critical areas that will affect many of our clients, such as audit and enforcement, business tax, credits and incentives, international tax, and private client services. Upon review of the Budget, we have highlighted some of the more considerable changes and the implications of these measures for the Canadian economy, businesses, and individuals.
The Budget introduces various tax and business changes, including the following key highlights:
- Increasing capital gains inclusion rates for corporations from 50% to 66.67% beginning June 25, 2024
- Increasing capital gains inclusion rates for individuals from 50% to 66.67% beginning June 25, 2024, with a $250,000 annual limit where inclusion rates remain at 50%
- Increasing the lifetime capital gains exemption (LCGE) limit to $1.25 million (from approx. $1 million currently) beginning June 25, 2024
- Expanding Canada Revenue Agency (CRA) audit and enforcement powers
For a comprehensive understanding of the 2024 Federal Budget and its potential impacts, click the link below.
