Finance Minister Dominic LeBlanc has delayed the capital gains tax hike that came into effect last spring until Jan. 1, 2026. LeBlanc said he issued the last-minute reprieve to give individuals and businesses more certainty this tax season. (The Logic)

Talking point: The Canada Revenue Agency had been planning to collect the tax according to changes announced in the last budget, even though the Liberals failed to pass enabling legislation. The government had hoped to net $19.4 billion from the changes over five years. Media reports suggest Liberal leadership candidate Chrystia Freeland, who championed the tax hike as finance minister, would roll back the controversial changes if she becomes prime minister. The Canadian Taxpayers Federation recently issued a federal court challenge, arguing Parliament never granted Ottawa the authority to collect the tax. LeBlanc has pitched several carve-outs, including an “entrepreneurs’ incentive” to encourage investment and exemptions to prevent middle-class Canadians paying higher taxes if the change eventually comes into effect.