Federal Budget April 2024

Federal Budget April 2024

Federal Budget Delivered on Tuesday, April 16^th

Chrystia Freeland, Deputy Prime Minister and Minister of Finance delivered the most recent Federal Budget from the minority Liberals with input from their partner; NDP MPs.  New programs included in the 400-page-plus 2024 Budget document include:

• The deficit for the current year is projected at $40 Billion

• $53 Billion in new spending over the next 5 years to fund priorities:

  • $8.5 Billion in new spending for housing where 50% of federal office space will be transformed into housing over the next 10 years and building housing on Canada Post and National Defence properties. An additional $1.5 Billion addition to the Apartment Construction Loan Program

  • $6 Billion Canada Disability Benefit

  • $1 Billion national school meal program

  • $500 Million for youth mental health

  • $155 Million in rent support for students, and $1.1 Billion boost to student grants and loans this year; alone

  • $2.5 Billion in carbon rebates for 600,000 small businesses who have less than 499 employees

  • The increased cost to service the national debt has grown by about $34 Billion per year in the current environment of higher interest rates compared to 2020/21

• To pay for some of these changes:

  • $19 Billion from an increase to the taxable portion of capital gains (from one-half to two-thirds). The lifetime exemption on capital gains for small business shares, farming and fishing properties will continue its previous path and grow to $1.25 Million in June 2024

  • Tax on cigarettes will increase by $1.36 over the next 5 years

• Recently, $73 Billion in defence spending over the next 20 years was announced. In the shorter-term, $8.1 Billion will be spent to over the next five years for early warning surveillance planes, a tactical missile system for the army, defence, and a focus on protecting the Arctic.

  • This planned level of investment does not achieve the 2% of Gross Domestic Product spending that is required by NATO, which may require additional commitments in future budgets

Many additional programs and descriptions can be found in the source budget documents,  which is the best location to access information and assess the effect on you and your family.

Budget Lead-Up by CBC News   2024 Budget Summary by CBC