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Lowest income tax rate cut

C-4 Making Life More Affordable for Canadians Act: An Act respecting certain affordability measures for Canadians and another measure

Lowers personal income tax on the lowest bracket, and adds a temporary housing rebate for first-time buyers.

What the law does

The law lowers the federal personal income tax rate on the lowest tax bracket to 14.5% for 2025 and 14% for 2026 and later years. It creates a temporary GST rebate on new homes for first-time buyers. The law also ends the federal fuel charge by repealing Part 1 of the Greenhouse Gas Pollution Pricing Act and its regulations, and updates rules under the Canada Elections Act for how political parties protect personal information.

Official text

Official summary

Part 1 amends the Income Tax Act to reduce the marginal personal income tax rate on the lowest tax bracket to 14.‍5% for the 2025 taxation year and to 14% for the 2026 and subsequent taxation years. Part 2 amends the Excise Tax Act and other related Regulations to implement a temporary GST new housing rebate for first-time home buyers. Part 3 repeals Part 1 of the Greenhouse Gas Pollution Pricing Act and the Fuel Charge Regulations . Part 4 amends the Canada Elections Act to make changes to the requirements relating to political parties’ policies for the protection of personal information.

The government's summary, printed at the front of the bill as introduced.

Kind
Government bill
Sponsor
François-Philippe Champagne, Minister of Finance and National Revenue (Saint-Maurice—Champlain)
Introduced
in the House of Commons
Last activity

Where it stands

  1. ProposedJun 5, 2025
  2. Being debated
  3. Almost law
  4. LawMar 12

Became law March 12

  1. First reading in the House done

    Before the House on 1 sitting day,

  2. Second reading in the House done

    Standing Committee on Finance

    Before the House on 3 sitting days, to

    2nd reading and referral to committee - FINA: agreed to, 335–⁠0 (division 8),

  3. Committee in the House done

    Standing Committee on Finance

    Before the House on 1 sitting day,

  4. Report stage in the House done

    Before the House on 1 sitting day,

  5. Third reading in the House done

    Before the House on 3 sitting days, to

    3rd reading: agreed to on division,

  6. First reading in the Senate done

    Before the Senate on 1 sitting day,

  7. Second reading in the Senate done

    Standing Senate Committee on National Finance

    Before the Senate on 2 sitting days, to

  8. Committee in the Senate done

    Standing Senate Committee on National Finance

    Before the Senate on 1 sitting day,

  9. Third reading in the Senate done

    Before the Senate on 2 sitting days, to

  10. Royal assent done

Exact procedural stages

Officially: Royal assent received March 12, 2026 · S.C. 2026, c. 2.

  1. House
  2. Senate
  3. Royal assent

Debates in the House 0

No debate on this bill is in the record we hold yet.

Also raised in 3

Question Period, members' statements and other debates where the bill came up.

Show 3

  1. Canadian Fuel Affordability Act

    · Government Orders · named 1 time

  2. Government Business No. 12—Proceedings on Bill C-30

    · Government Orders · named 1 time

  3. Government Orders

    · Government Orders · named 3 times

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Status, stages and votes from LEGISinfo. Debates are linked from the House's own record of what was before it. Grades are the site's analysis of each statement.