Finance Canada: No More Spring Budgets

Finance Canada announced on October 7 that Canada’s federal budgets will be brought down in the fall starting with the November 4, 2025 event; a significant departure from the spring schedule (February, March or April) that has been the cycle for several decades. This is going to affect many other events as we know them, and in the annual government spending approval cycle. There will also be a new budget process for capital vs. operational expenses. Here’s what you need to know:

CRA has released a newly revised 9-page form T657, which takes into account the increase of the Lifetime Capital Gains Deduction (LCGD) to $1 Million for Qualified Farming and Fishing Properties for dispositions after April 20, 2015 and to $813,600 for Qualified Small Business Corporation Shares for tax year 2015. It can safely be said this form is not for the faint of heart.

Cross border taxation is increasingly of interest to tax advisors and their clients, particularly if they are US citizens living in Canada. The cost to renounce US citizenship, for example, has recently increased to $2350; while challenges to tax filing compliance have failed, so far.

What’s important in building modern financial practices?  The top-rated speaker at the recent Distinguished Advisor Conference was someone who focused on the softer side of financial advice—peak performance coach, author, and speaker Craig Dowden, PhD – and his answer to the question was simple:  empathy.

According to Statistics Canada1, 95% of Canadians age 15 years and older have some form of income. There are over 28 million tax filers and two-thirds of them pay income taxes, on average 16% of total income. Fully 70% of that income came from employees, whose earnings are subject to tax withholdings that employers make on their behalf.

“Far away there in the sunshine, are my highest aspirations. I may not reach them, but I can look up and see their beauty, believe in them, and try to follow where they lead.” -Louisa May Alcott

We all know people who immediately capture our attention.  I’m not referring to people whose physique or loud voice is overpowering and intimidating, keeping us at a distance, but those who have that distinct magnetism that draws us closer.