Capital Gains Deduction for Qualifying Cooperative Conversions - Under proposed changes starting in 2024, you may be eligible for a capital gains deduction on the sale of shares under a qualifying cooperative conversion

Capital Gains Rollover for Small Business Shares - Under proposed changes, for qualifying dispositions after December 31, 2024, the period to acquire replacement shares has increased and the definition of eligible small business corporation share has been expanded

Critical Mineral Exploration Tax Credit - Under proposed changes, the critical mineral exploration tax credit (CMETC) has been expanded to include 12 new critical minerals – including bismuth, cesium, chromium, fluorspar, germanium, indium, manganese, molybdenum, niobium, tantalum, tin, and tungsten. This expansion applies only to eligible flow-through share agreements entered into after November 4, 2025, and before April 1, 2027

Disability Supports Deduction - Under proposed changes, the list of eligible expenses for the disability supports deduction has been expanded

For more information, see Line 21500 – Disability supports deduction.

Mineral Exploration Tax Credit - Under proposed changes, the mineral exploration tax credit (METC) has been extended for qualifying flow-through share agreements entered into before April 1, 2027

Tax Rate Change – lowest individual income tax rate - Under proposed changes starting July 1, 2025, the lowest individual income tax rate will be reduced from 15% to 14%. Since the change takes effect halfway through the year, the full-year lowest marginal individual income tax rate for 2025 will be 14.5%. The rate applying to most non-refundable tax credits will continue to be the same as the lowest marginal individual income tax rate

Top-up Tax Credit - Under proposed changes, a new non-refundable tax credit was introduced to effectively maintain a 15% rate for certain non-refundable tax credits claimed on amounts over the first income tax bracket threshold of $57,375 for 2025

Digital News Subscription Credit – This credit has been discontinued effective for 2025

Ontario Fertility Treatment Tax Credit – This new refundable provincial tax credit if available for qualifying fertility treatments provided within Canada

Other Notable Updates:

• The 2025 cumulative lifetime capital gains exemption is $1,250,000
• Old Age Security (OAS) Claw back threshold is currently $93,454
• The tax-free savings account (TFSA) limit is $7,000 for 2025, bringing the cumulative contribution limit to $102,000 for individuals that were eligible to make a TFSA contribution in 2009
• The RRSP contribution limit for the 2026 taxation year is 18% of earned income you reported on your tax return in 2025, up to a maximum of $33,810. For the 2027 taxation year, the RRSP contribution limit would be a maximum of $35,390