Finance Minister Chrystia Freeland presented the much-anticipated 2024 federal budget on Tuesday, outlining a comprehensive plan to address pressing issues across various sectors in Canada.
In a bid to tackle the housing crisis, the government aims to construct nearly 3.9 million new homes nationwide by 2031. To facilitate this, several measures have been proposed, including increasing the capital cost allowance rate for apartments, extending the mortgage amortization period for first-time homebuyers, and making more public lands available for home construction. Additionally, $250 million over two years will be allocated to address homelessness and shelter shortages.
High-worth individuals, corporations, and trusts will see an increase in capital gains taxes, expected to generate an additional $19.4 billion over four years. Excise taxes on tobacco and vaping products will also rise, contributing nearly $1.7 billion in revenue over five years.
The budget includes provisions to forgive loans for early childhood educators and various health and education workers, amounting to significant financial relief.
New criminal offences related to auto theft and measures to combat online harms are among the initiatives outlined. Significant funding will be directed towards combating hate and enhancing security infrastructure for communities and religious hubs.
Substantial investments have been earmarked for greener homes, energy efficiency programs, and the creation of new parks and wildlife preserves.
Tax incentives for businesses involved in the electric vehicle supply chain and clean energy investments are introduced, along with a tax credit for small and medium-sized businesses.
The budget introduces programs to cover contraceptives and diabetes medication, along with funding for mental health services and addressing the opioid crisis.
Significant investments are allocated for Indigenous communities, including loan guarantees for resource projects, education, infrastructure, and addressing missing Indigenous women, girls, and gender-diverse people.
Military spending is set to increase, with funds allocated for military aid, humanitarian crises response, and enhancing Global Affairs Canada.
Substantial funding is dedicated to building capacity in artificial intelligence, including improving access to computing capabilities and supporting workers affected by AI.
A national school food program and investments in child care expansion aim to address food insecurity and support working families.
Efforts to streamline the federal workforce through natural attrition are part of the cost-cutting measures outlined in the budget.
The 2024 federal budget reflects the government’s commitment to addressing pressing issues while laying the groundwork for long-term sustainability and growth.
Written by: K. Milhomens
