- Canada enacts Bill C-78, the Tax Break for All Canadians Act, which received Royal Assent on December 12, 2024
- The legislation makes various holiday essentials including all food, children’s clothing, and gifts tax-free from December 14, 2024, to February 15, 2025
- Items covered by the tax exemption include prepared foods, restaurant meals, snacks, alcoholic beverages under 7 percent ABV, children’s clothing and footwear, toys, books, and Christmas trees
- The tax break aims to save Canadian workers between $100 and $300 on a $2,000 basket of purchases during the two-month period
- The measure is designed to alleviate financial pressures during the holiday season and help Canadians start the new year with more savings
- Deputy Prime Minister and Minister of Finance, Chrystia Freeland, highlighted the reduction in inflation and interest rates, emphasizing the financial relief the tax break provides during the costly holiday season
- Additional savings are available in certain provinces like Ontario and Newfoundland and Labrador where provincial taxes on qualifying goods are also waived
- The federal government has also introduced a National School Food Program to support children’s nutrition, with a budget of $1 billion over five years
Source: canada.ca
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
