Fav of CanadaFav of Canada
  • Home
  • News
  • Money
  • Living
  • Entertainment
  • Health
  • Sci-Tech
  • Travel
  • More
    • Sports
    • Web Stories
    • Global
    • Press Release

Subscribe to Updates

Get the latest Canada's trends and updates directly to your inbox.

What's On

Wildfire smoke causing Montreal to have the world’s worst air quality

July 26, 2025

Most Canadians think the country is making progress on reconciliation: poll

July 26, 2025

‘Goosebumps’ and euphoria after workers trapped in B.C. mine were freed

July 26, 2025
Facebook X (Twitter) Instagram
Fav of CanadaFav of Canada
  • Home
  • News
  • Money
  • Living
  • Entertainment
  • Health
  • Sci-Tech
  • Travel
  • More
    • Sports
    • Web Stories
    • Global
    • Press Release
Fav of CanadaFav of Canada
You are at:Home » What Liberals are planning for federal budget, ‘middle-class tax cut’
Money

What Liberals are planning for federal budget, ‘middle-class tax cut’

By favofcanada.caMay 14, 2025No Comments3 Mins Read
Facebook Twitter Pinterest Telegram WhatsApp Email Tumblr LinkedIn
Share
Facebook Twitter Pinterest WhatsApp Email

The federal government does not plan to table a federal budget before the House of Commons rises this summer, the finance minister said Wednesday, drawing criticism from opposition parties of Prime Minister Mark Carney’s priorities.

Finance Minister François-Philippe Champagne said the government’s first priority will be to pass what the Liberals are calling a “middle-class tax cut” by July 1.

“That’s step one,” Champagne told reporters after a cabinet meeting in Ottawa, the first since the new ministry was sworn in Tuesday.

“Step two, you’re going to have a throne speech where we’ll outline the Canadian government’s priorities, and there will be a fall economic statement to follow. So those are really the sequence (of events) that you’re going to see.”

Champagne said the proposed tax cut will be introduced through a ways and means motion in the House of Commons that will be tabled immediately after Parliament returns on May 26.

Carney on Wednesday signed a document, which he called an “order,” that he said would deliver the tax cut.

“We promised the middle-class tax cut leading to over $800 of savings for two-income households,” Carney said.

Get expert insights, Q&A on markets, housing, inflation, and personal finance information delivered to you every Saturday.

Get weekly money news

Get expert insights, Q&A on markets, housing, inflation, and personal finance information delivered to you every Saturday.

“We are acting today on that, so that by July 1, as promised, that middle-class tax cut … will (come) into effect. We’re acting on affordability as we look to build up this economy.”

Champagne said prioritizing the tax cut shows the Liberals are listening to Canadians.

“This is very significant and it sends a very strong and clear message to Canadians that we care, that we understand that one of the first concerns they have is about affordability,” he said.

While campaigning as Liberal Party leader, Carney pledged to reduce the lowest marginal tax bracket by one per cent.

The lowest tax bracket as of now is 15 per cent of all qualifying income earned up to $57,375. Carney’s promise would bring that down to 14 per cent instead.

The Liberals, who won a minority government in the House of Commons, will need some opposition votes to pass any legislation.

Conservative Leader Pierre Poilievre and interim NDP leader Don Davies both said it’s unacceptable that Carney will not produce a fiscal plan anytime soon.


“Canadians were told that Mark Carney, the supposed serious economist, would bring competence and clarity,” Poilievre said in a statement. “Instead, we’re getting delays and disfunction.”

Davies said Parliament needs to be able to scrutinize the Liberal government’s spending plans and Ottawa should not delay federal spending in light of the economic crisis brought about by U.S. tariffs.

King Charles III is scheduled to deliver the Speech from the Throne to Parliament on May 27, outlining the new government’s vision.

After the throne speech is delivered, the government will introduce a motion that triggers up to six days of debate, after which the House of Commons will vote on approving the speech and the government’s agenda.

The motion effectively serves as the first measure of confidence in the government, as passing it would allow the government to begin carrying out its legislative priorities.

— with files from the Canadian Press

&copy 2025 Global News, a division of Corus Entertainment Inc.

Related Articles

U.S. House passes cryptocurrency bill, sends to Trump’s desk

By favofcanada.caJuly 17, 2025

Wall Street rides roller-coaster after Trump walks back talk of firing Powell

By favofcanada.caJuly 16, 2025

How Canada’s oil sands transformed into one of North America’s lowest-cost energy producers

By favofcanada.caJuly 16, 2025

Porter Airlines cabin crew files application to certify union: CUPE

By favofcanada.caJuly 14, 2025

Bitcoin sets new record as crypto markets expect Trump to ease regulations

By favofcanada.caJuly 14, 2025

Alberta, Ottawa putting $203M to building over 2,300 new affordable housing units

By favofcanada.caJuly 11, 2025
Add A Comment

Leave A Reply Cancel Reply

Don't Miss

Most Canadians think the country is making progress on reconciliation: poll

By favofcanada.caJuly 26, 2025

Most Canadians believe the country is making good progress on reconciliation with Indigenous Peoples, a…

‘Goosebumps’ and euphoria after workers trapped in B.C. mine were freed

July 26, 2025

Auditor general to study hiring, promotion of public servants with disabilities

July 26, 2025

Ontario family sues hospital and staff over son’s death

July 26, 2025
Stay In Touch
  • Facebook
  • Twitter
  • Pinterest
  • Instagram
  • YouTube
  • Vimeo
Our Picks

World juniors case raises consent questions, but appeal unlikely: experts

By favofcanada.caJuly 26, 2025

Toronto Zoo to become home of Cedar, a blind baby moose rescued near Ottawa

By favofcanada.caJuly 26, 2025

U.S. raises anti-dumping duties on softwood lumber above 20%

By favofcanada.caJuly 26, 2025
About Us
About Us

Fav of Canada is your one-stop website for the latest Canada's trends and updates, follow us now to get the news that matters to you.

We're accepting new partnerships right now.

Email Us: [email protected]
Contact: +44 7741 486006

Our Picks

Wildfire smoke causing Montreal to have the world’s worst air quality

July 26, 2025

Most Canadians think the country is making progress on reconciliation: poll

July 26, 2025

‘Goosebumps’ and euphoria after workers trapped in B.C. mine were freed

July 26, 2025

Subscribe to Updates

Get the latest Canada's trends and updates directly to your inbox.

Facebook X (Twitter) Instagram Pinterest TikTok
  • Privacy Policy
  • Terms of use
  • Advertise
  • Contact
© 2025 Fav of Canada. All Rights Reserved.

Type above and press Enter to search. Press Esc to cancel.