Fall Federal Budget: Will Spending Be Cut?

Canada has historically presented an annual budget since Confederation in 1867, even through periods like World Wars and the Great Depression, but we have recently experienced the longest period without a full federal budget in our history. By the time the next one is brought down, expected in October 2025, it will have been 18 months since the controversial April 2024 budget which introduced the doomed capital gains inclusion rate hikes. What can we expect?

Bill C-78 introduced on November 27 to suspend the GST/HST on a wide variety of goods from December 14 to February 15, 2025 appears to be moving ahead in the House of Commons on a fast track.   The provisions deserve a deeper dive, however, as this comes with a multitude of significant future costs including unwelcome new tax audit risk for retailers.  Here’s what tax advisors and their clients need to know and plan for before the end of the year:

Now is the time to explore your exclusive Black Friday tuition offers: save 30% until November 30. Only $695 per certificate course. Explore a new pathway to specialized credentials or train your team at these tuition rates:

Did you know that the CE Savvy Summit: 2025 Advanced T1 Personal Tax Update is coming to a city near year this January? All the updated knowledge and resources a tax or financial professional needs, including expert instruction on 2024 T1 Completion and Tax Planning for 2025. Register by January 10 early-bird deadline for tuition savings and take advantage of new team member rates to prepare your staff for the upcoming tax season.

Canada’s only multi-disciplinary conference for tax accounting and financial advisors wound up on Montreal on November 12; but the memories of an outstanding CE learning and networking event are guaranteed to linger.  Check out the photos here then take advantage of early registration offers for the next event: Acuity 2025, November 23-26, 2025 in Puerto Vallarta, Mexico.  The theme is Happy Landings:   Discover a New Era of Risk and Rewards! 

Owning a home, once almost considered a right of Canadian citizenship, has become a more distant dream for millions. The high cost of housing, coupled with a desperate shortage of supply, has turned the notion of home ownership into a near impossibility for many Canadians and those who have arrived in our country more recently.  The Tax-Free First Home Savings Account (FHSA) can help but it’s important to open an account before December 31, 2024 to create and preserve the contribution room.

CRA has confirmed the indexing rate of 2.7% for 2025 on various income tested provisions and including personal amounts applied to reduce taxes payable.  This also applies to ALDAs, which provide a unique additional way to defer income from taxation in the case of healthy, affluent seniors.  Here’s what’s to know: