A Brief Summary of Tax and Economic Platforms for the Major Parties

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Following is a summary of the various tax (and some relevant economic) policies put forward by the 3 largest parties running in the 2021 Canadian federal election. This is intended to provide a brief overview only. If you have questions about the specifics of any of the following, please contact a representative of the party.

For your own research, the platforms can be found here:

Personal Taxes

Liberal (Incumbent)ConservativeNDP
Increase eligible educator credit to 25% (from 15%)  
 Make a portion of childcare expenses refundable tax credits 
 Increase the adoption credit to $20,000 (from $15,000), and make it refundable 
Special tax-free “First Home Savings Account” to be created  
First-time home buyer’s credit increased to $10,000 (from $5,000) First-time home buyer’s credit increased to $10,000 (from $5,000)
Implement a renovation credit for multi-generational homes  
Principal residence deduction (the tax-free sale of a home) will only apply if it was owned for at least 12 monthsPromise to never tax the sale of a principal residence (i.e. keep it the unchanged) 
Surtax on landlords if their rent income increases too fast  
  20% buyer’s tax on sale of any property (including principal residence) to anyone who is not a Canadian citizen or permanent resident
Minimum tax rule expanded to 15% on all income earned if base-level income is in the highest bracket  
Fully implement the luxury tax (from the prior budget)Will study a modified luxury tax, much more limited in scopeImplement a luxury tax, appears more limited in scope than Liberal’s plan
  Increase the top marginal rate by 2% (to 35% from 33%)
  Special wealth tax if wealth is greater than $10 million
Home appliance repair credit  
Increase home accessibility credit to $20,000 (from $10,000)Make the credit $10,000 per person instead of $10,000 per building 
Make the caregiver credit refundable Make the caregiver credit refundable
Special deduction of $15,000 for new health care professionals  
Labour mobility tax credit (for construction workers who move to work)Labour mobility tax credit (same as Liberal, except for the $600/year recurring credit) 
Career extension tax credit (for seniors who want to keep working)  
 Double the Canada worker’s benefit (for low-income individuals and families) and pay out in quarterly instalments instead of annually 
 Double the disability supplement 
 Increased ability to claim home care expenses for seniors 
  Income tax averaging for artists & cultural workers
  Special credits for graduates who move North or to certain rural areas to work
  Expand volunteer firefighter’s tax credit

Corporate Taxes

Liberal (Incumbent)ConservativeNDP
Expense reimbursement for tourism businesses  
Tax rates on rental property subject to review and change. Landlords also subject to tax if income increases too fast.  
Increase tax rate on certain earnings over $1 billion by 3% Permanent increase in corporate tax rate by 3%, on all earnings
  Increase capital gains rate to 75% (currently 50%)
 Special tax on foreign tech companies of 3% of revenue of Canadian-sourced incomeIncrease taxes on internet giants
  15% additional special tax on large businesses with windfall profits from COVID periods
Tax credit for improvements to ventilation systems in buildings  


Liberal (Incumbent)ConservativeNDP
Extend the business hiring program to March 31, 2022Job surge – pay up to 50% salary of new hires after CEWS endsUnlimited extension of programs until COVID closures are done. Will also pay employer portion of CPP & EI for new and re-hired staff
Extend Home Expense deduction for 2 years and increase amount  
 Up to $200,000 in loans for impacted businesses 


Liberal (Incumbent)ConservativeNDP
 Provide a 5% credit for capital investments, up to $25,000 for small businesses 
 25% tax credit for up to $100,000 invested in small businesses 
 Rebates and credits for food and tourism purchases post-COVID 
  $15/hour federal minimum wage, going up to $20/hour, and index it (rises with inflation)
 Month-long GST holiday in the fall. No GST at retail stores 
Brand new EI system, including EI for self-employedExpanded EI, including special benefits when a province enters a recession 
 Special tax benefits for selling shares to employees 
 Small penalties for first-time offences, larger for repeat offences 
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Jaden Evanson