Some quick points to consider…
• The federal government has proposed to reduce the base CPP contribution rate from 9.9% to 9.5%, effective January 1, 2027. This would reduce CPP contributions by about $133 for both the employee and employer where the employee earns $70,000.
• For 2026, the limit on the deduction for non-taxable allowances paid by an employer to an employee using a personal vehicle for business purposes will increase by one cent to 73 cents per km for the first 5,000 kms driven and to 67 cents for each additional km.
• The federal government has proposed to allow 100% immediate expensing for greenhouses, retroactive to November 4, 2025.
• The first-time home buyers’ GST/HST rebate, along with the existing GST/HST new housing rebate, would provide a 100% GST rebate on homes valued at up to $1 million, with the rebate being phased out in a linear manner for homes valued between $1 million and $1.5 million. The rebate was originally proposed to take effect on May 27, 2025; however, the effective date has been moved to March 20, 2025, the date Prime Minister Mark Carney first announced the rebate.
• US citizens are required to report their world-wide income on US personal tax returns even if they do not live in the US. As of April 13, 2026, the fee to renounce US citizenship was reduced from $2,350 to $450.
