CCI Statement on Ottawa Formally Cancelling the Capital Gains Tax Hike

Today, Prime Minister Mark Carney formally announced that the federal government will cancel changes to the capital gains inclusion rate, which would have resulted in a significant tax hike for entrepreneurs and investors in the Canadian innovation economy. CCI has been vocally opposed to this tax hike since it was first proposed in the 2024 federal budget

In response to the news, CCI President Benjamin Bergen issued the following statement on behalf of our members:

"The formal rollback of the capital gains tax increase is a welcome move, but it’s bittersweet—Canada’s reputation in the tech sector has already taken a hit. The proposed change signalled to investors and entrepreneurs that Canada was becoming a much harder place to succeed, and that kind of uncertainty has real consequences.We appreciate Prime Minister Mark Carney’s statement today, acknowledging the important role of investment and entrepreneurship in building a stronger Canada.

"Today Prime Minister Carney acknowledged the important role investment and entrepreneurship plays in building a stronger Canada. To rebuild trust and to make good on this goal, we need policies that actively support domestic companies, particularly as we navigate growing trade tensions with the United States. Uncertainty creates challenges for those trying to build firms, and the damage has already been done. The path forward must focus on creating stability and a business climate that incentivizes risk-taking and rewards success."

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Media Contact:

James McLeod
Director of Communications
jmcleod@canadianinnovators.org