2026 Federal budget summary

For individuals

• Change the income tax filing deadline and the balance-due date to May 15, starting in 2027, including for self-employed individuals;
   
• Introduce the Canada Growth Incentive, which has two components: a capital gain exemption (up to a limit of $15 million) on the disposition of eligible shares of an eligible corporation, and an enhanced capital gains rollover for small businesses;
   
• Simplify the tax system, in particular to make it easier to file income tax returns and to access tax relief and benefits.

For businesses

• Expand the eligible activities and expenditures under the SR&ED program;
   
• Extend the clean electricity and clean technology investment tax credits in respect of eligible property;
   
• Relax Part VI.1 rules, in particular for CCPCs and private holding companies.

For taxpayers

• Raise the threshold for the foreign income verification statement (Form T1135);
   
• Amend the deadline for most taxpayers to file a notice of objection to an income tax assessment;
   
• Raise the threshold for instalment payments.

Learn more

Consult our summary to learn about the measures announced in the 2026 Federal Budget.

Download the summary