Insights · Analysis in preparation
The Capital Gains Rate That Never Was — and the $1.25M Exemption That Survived
This analysis is being written to the standard the rest of this site holds to — dated, cited to primary sources, and revised when the law or CRA practice changes. It is not yet published.
What this analysis will cover
The proposed two-thirds capital gains inclusion rate was cancelled on March 21, 2025 and never became law; the inclusion rate remains 50 percent. The lifetime capital gains exemption increase survived — $1.25 million for qualifying small business corporation shares, indexed from 2026. This piece separates what changed from what only appeared to change, with primary sources.
In the meantime
The mandate this analysis supports
The question this piece addresses is already live in practice. The advisory page below sets out how it is handled today; a private consultation is the direct route for a specific matter.
This article reflects tax law and CRA administrative practice as of its publication date. It is general information, not tax, accounting, or legal advice, and reading it does not create a professional-client relationship. Figures, deadlines, and administrative positions change — obtain advice on your own facts before acting.