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ARTICLE · 22 APRIL 2021

2021 Federal Budget: Tax Highlights

Davies Ward Phillips & Vineberg LLP
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The Honourable Chrystia Freeland, Canada's Deputy Prime Minister and Minister of Finance, delivered the Liberal Party's first federal budget (Budget 2021) in over two years and the first since...

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Elie Roth
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Paul Lamarre
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Christopher Anderson
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Michael Kandev
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Marie-Emmanuelle Vaillancourt
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Julie Colden
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The Honourable Chrystia Freeland, Canada's Deputy Prime Minister and Minister of Finance, delivered the Liberal Party's first federal budget (Budget 2021) in over two years and the first since the start of the global COVID-19 pandemic.

As part of a recovery plan for "jobs, growth and resilience," Budget 2021, released on April 19, 2021, reflects over $100 billion in stimulus spending, including the extension of the Canada Emergency Wage Subsidy (CEWS), Canada Emergency Rent Subsidy (CERS), Lockdown Support through September 2021 and the introduction of a new Canada Recovery Hiring Program. Other stimulus measures target seniors, parents, small businesses and others impacted by the pandemic and the support of green initiatives. A deficit of $354 billion is reported for 2020, with no balanced budgets and continued deficit spending projected over the next five years through 2026.

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