Canada’s capital gains tax increase seen raising $17.4 bln over five years: PBO
Canada’s parliamentary budget watchdog is projecting that the new capital gains tax increase will generate $17.4 billion over five years, less than projected by the federal government.
The Parliamentary Budget Office issued a report on Thursday on the new measure, which increases the tax on capital gains by about eight percentage points, with some thresholds added to prevent smaller transactions from being captured. Capital gains are profits made from the sale of an asset, like a cottage or business.
The PBO’s numbers are about $2 billion less than Finance Minister Chrystia Freeland projected in her April budget.
