What the federal budget has in store for Canadian businesses, according to our experts — SkimNews
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- Budget 2026 pairs tax cuts and business supports with tens of billions for housing, First Nations infrastructure and social programs, while aiming to lift private investment through major projects such as doubling Canada’s energy-grid capacity.
- Bill C-39 aims to implement Ottawa’s “one project, one decision, one year” promise through a major environmental-review overhaul intended to make approvals faster and less expensive; the Major Projects Office is intended to shepherd large resource and infrastructure developments.
- Productivity Mega Deduction lets companies write off capital-asset purchases up front, including mining equipment, bulldozers and rail track, as Ottawa pairs the measure with tax and regulatory changes to crowd in private investment.
- Canada Growth Incentive exempts taxes on up to $15 million of capital gains from qualifying Canadian business investments, letting founders retain 96% of an exit’s value instead of 71%, and allows tax deferral when proceeds are rolled into another Canadian small business.
- Canada is projected to run a $62.3-billion deficit, shrink it to $52.9 billion in coming years and carry $1.37 trillion of federal debt this year, rising to $1.59 trillion by 2030-31; broader net debt reaches $1.92 trillion.
- Canada announced $11.2 billion in new defence spending over five years but remains roughly $37 billion short annually even by 2030 of the level needed to meet its NATO-aligned commitment of 3.5% of GDP by 2035.
- De Havilland is allocated up to $2.5 billion in federal financing to expand waterbomber production for Canada and allies, within an envelope that also funds Armed Forces training and national disaster preparedness.
Why it matters: Canadian founders selling eligible businesses can now exempt up to $15 million in capital gains, retaining 96% rather than 71%, while reinvestment rollovers can be deferred. The fiscal counterweight is substantial: Ottawa projects a $62.3-billion deficit as broader net debt reaches $1.92 trillion within five years.
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