Prime Minister Mark Carney put a definitive end to the Liberals’ plans to hike the capital gains tax by cancelling proposed changes to the inclusion rate. (The Logic)

Talking point: The Liberals had proposed growing government revenue by increasing the inclusion rate on capital gains from one-half to two-thirds for corporations and trusts, and for individuals’ gains over $250,000. The idea was met with objections from business owners and associations who worried it would stymie Canadian investments. The change was supposed to be in effect this tax season, but the Liberals deferred it until next year amid opposition and political uncertainty. Carney said he cancelled the change in an attempt to catalyze private investment, while Conservative Party Leader Pierre Poilievre also vowed to scrap it if elected. Carney plans to go ahead with plans to increase the lifetime capital gains exemption limit to $1.25 million on the sale of small-business shares and farming and fishing property. That change will require new legislation, which can only be passed when Parliament resumes after the election.