Capital Gains Tax Changes Proposed in Budget 2024
Proposed Tax Changes
The federal government has proposed a number of changes to capital gains taxation in Budget 2024. These changes include:
- An increase in the inclusion rate from 50% to 66.67% on capital gains above $250,000 for individuals
- A boost to the lifetime capital gains exemption for business owners to $125 million from a little more than $1 million
- A new tax on capital gains earned by corporations and trusts at the two-thirds rate
Conclusion
These proposed changes would have a significant impact on the way capital gains are taxed in Canada. If adopted, they would make Canada's tax system fairer and more equitable. They would also provide a much-needed boost to the economy by encouraging investment and job creation.
Comments