Fiscal and Financial Planning Guide 2024-2025

Investments > Capital gains

Few tax issues have caused so much discussions, only to finish in a deadend.

This measure, announced in the Federal Budget of April 16 2024, provided for an increase in the inclusion rate from 50% to 66% in certain situations on capital gains realized after June 25, 2024. Although part of the Notice of Ways and Means Motions tabled on September 23, 2024, this measure was not given assent.

On January 31, 2025, Canada’s Minister of Finance, Dominic Leblanc, announced that the government was postponing until January 1, 2026 the date on which the capital gains inclusion rate would increase from 50% to 66.66% in certain circumstances.

Quebec government’s Finance Minister Éric Girard subsequently announced that he would harmonize with the measure announced by the federal government.

In the end, we can predict that this measure will probably never be adopted as presented.

Indeed, Conservative Party leader Pierre Poilièvre announced on January 16 2025 that he would not adopt the measure if his party were elected in the next federal election.

Subsequently, the two main candidates to succeed Justin Trudeau as Liberal leader, Chrystia Freeland and Mark Carney, announced that they would not adopt this measure.

If you would like more information on the proposed measure, please consult the bulletin we wrote on the subject titled Capital gain inclusion rate in May 2024 on our website.

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