On November 30, 2020, the Canadian Deputy Prime Minister and federal Minister of Finance, Chrystia Freeland, presented the 2020 Federal Fall Economic Statement (economic statement). The economic statement does not change personal or corporate income tax rates, but does:
- clarify proposed rules for the taxation of employee stock options, to be effective for stock options granted after June 30, 2021
- provide details for the Canada Emergency Wage Subsidy (CEWS), Canada Emergency Rent Subsidy (CERS) and Lockdown Support programs for December 20, 2020 to March 13, 2021
- announce a simplified home office tax deduction for 2020 for employees
- require non-resident vendors supplying digital products or services to consumers in Canada to register for Goods and Services Tax/Harmonized Sales Tax (GST/HST), effective July 1, 2021
The Tax Insights below discusses these and other tax initiatives proposed in the economic statement.
