Home -> Federal Budget -> 2024 Federal Budget
2024 Federal Budget - April 16, 2024
See Department of Finance - Budget 2024 for full budget information.
Contents
2024 Federal Debt Forecasts in $billions
2024 Federal Deficit Forecasts in $billions
2024 Forecast for Annual Interest on the Federal Debt in $billions
2024 Federal Budget Tax Measures
Home Buyers / Home Owners / Home Builders
Entrepreneurs / Farmers / Fishers
Investors / Landlords / Business Owners / Capital Property Owners - Capital Gains Inclusion Rate
Business and Other Tax Measures and Notices of Ways and Means Motions
2024 Federal Debt Forecasts in $billions
 | 2023 $1,173.0 - actual |
| 2024 $1,215.5 = approximately $31,087 for every man, woman and child |
| 2025 $1,255.3 |
| 2026 $1,294.1 |
| 2027 $1,324.9 |
| 2028 $1,351.7 |
| 2029 $1,371.7 |
2024 Federal Deficit Forecasts in $billions
| 2022-23 $35.3 - actual |
| 2023-24 $40.0 |
| 2024-25 $39.8 |
| 2025-26 $38.9 |
| 2026-27 $30.8 |
| 2027-28 $26.8 |
| 2028-29 $20.0 |
2024 Forecast for Annual Interest on the Federal Debt in $billions
| 2022-23 $35.0 |
| 2023-24 $47.2 |
| 2024-25 $54.1 - exceeds Health transfers to provinces by $2 billion |
| 2025-26 $54.9 - exceeds Health transfers to provinces by $0.2 billion |
| 2026-27 $57.0 |
| 2027-28 $60.9 |
| 2028-29 $64.3 |
2024 Federal Budget Tax Measures
Many tax measures have been proposed. All measures are subject to legislative approval.
Home Buyers / Home Owners / Home Builders
| Increasing the RRSP Home Buyers' Plan (HBP) maximum withdrawal from $35,000 to $60,000 |
| Allowing those who made HBP withdrawals after January 1, 2022 and those who will make withdrawals prior to the end of 2025 to take more time to begin repayments, up to 5 years in total rather than 2. |
| 30-year mortgage amortizations will be allowed for first-time home buyers, but only if they are purchasing newly built homes, effective August 1, 2024. |
| Temporarily increasing CCA rate from 4% to 10% for new purpose-built rental projects which begin construction on or after April 16, 2024 and before January 1, 2031, that are available for use before January 1, 2036. |
| Remove the GST for student residences built for public universities, public colleges, and public school authorities. This will apply to new student residences that begin construction on or after September 14, 2023 and before 2031, as long as construction is completed before 2036. |
| Introduce a new Secondary Suite Loan Program to provide homeowners up to $40,000 in low-interest loans to add secondary suites to their homes. Before taking advantage of this, homeowners should read the information One Principal Residence (Housing Unit) Per Couple, and seek professional advice if necessary. |
Entrepreneurs / Farmers / Fishers
| Increase the Lifetime Capital Gains Exemption (LCGE) from $1,016,836 to $1.25 million of eligible capital gains, for dispositions that occur on or after June 25, 2024 until December 31, 2025. Indexation will resume in 2026. In Budget 2024 see Lifetime Capital Gains Exemption. | ||||||||||
| Introduce the Canadian
Entrepreneurs' Incentive (see this link for more details):
|
Investors / Landlords / Business Owners / Capital Property Owners / Estate Planning
| Increase the capital gains inclusion rate from 1/2 to 2/3 for
corporations and trusts, and from 1/2 to 2/3 on the portion of capital gains
realized in the year that exceed $250,000 for individuals, for capital gains
realized on or after June 25, 2024.
|
Other Personal Tax Measures
| Volunteer Firefighters and Search and Rescue Volunteers: tax credits for volunteer firefighters and search and rescue volunteers will be doubled from $3,000 to $6,000 for 2024 and subsequent years. This provides a $900 reduction of taxes payable. | ||||||
| Mineral Exploration Tax Credit: Extend eligibility for one year, to flow-through share agreements entered into on or before March 31, 2025. | ||||||
| Alternative Minimum Tax (AMT): further changes to the previously-provided proposals. | ||||||
| Canada Child Benefit (CCB): extend eligibility for 6 months after a child's death, if the individual would have otherwise been eligible for the CCB in respect of that child. | ||||||
| Disability Supports Deduction: expand the list of expenses recognized under this deduction. | ||||||
| Employee Ownership Trust Tax Exemption: Further details provided on the already-proposed exemption and conditions. | ||||||
| Qualified Investments for Registered Plans: invite stakeholders to provide suggestions on how the qualified investment rules could be modernized on a prospective basis to improve the clarity and coherence of the registered plans regime. | ||||||
| Deduction for Tradespeople's Travel Expenses: consider bringing forward amendments to the Income Tax Act to provide for a single, harmonized deduction for tradespeople's travel that respects the intent of Bill C-241, which provides for a deduction with no cap on expenses, retroactive to the 2022 taxation year. | ||||||
| Indigenous
Child and Family Services Settlement: make tax-free:
|
There are many business income tax measures, international income tax measures, and sales and excise tax measures. See Tax Measures: Supplementary Information for information on all proposed tax measures. The Notices of Ways and Means Motions are also available at that link.
Revised: April 29, 2024