🍁 civid v1

Status and scope

• Bill C-31 is at second reading. It would implement measures from the budget tabled on November 4, 2025.
• The supplied text includes the bill’s official summary but truncates the legislative provisions during Part 1. The account below relies mainly on that summary; it does not establish all conditions, amounts or commencement dates.

Part 1 — Income tax

• Provides temporary immediate expensing for eligible manufacturing or processing buildings. The quoted provisions include a recapture rule if, within a specified period, more than 10% of the building’s floor space begins to be used for other income-earning purposes.
• Provides automatic federal benefits for lower-income individuals and implements the Crypto-Asset Reporting Framework.
• Changes tax rules affecting trusts, corporate investment income, bankrupt corporations, trusts and partnerships, tax-debt avoidance and audit information gathering.
• Expands the clean hydrogen investment tax credit to hydrogen produced through methane pyrolysis, and changes other clean-energy credit rules.
• Ends Canada Carbon Rebate payments for tax returns or adjustment requests filed after October 30, 2026.
• Clarifies exploration expenses, changes qualified investment rules and makes technical amendments. It also suspends the Canada–Russia Income Tax Agreement.

Part 2 — Global minimum tax

• Amends the Global Minimum Tax Act to impose a top-up tax on Canadian entities of certain multinational groups in respect of low-taxed profits elsewhere in the group, where those profits are not already subject to specified minimum-tax rules.
• Incorporates aspects of OECD administrative guidance and makes technical and related legislative amendments.

Part 3 — GST/HST and excise duties

• GST/HST: Changes and clarifies rules affecting financial institutions, investment plans, first home savings accounts, payment services and insurance. Following the death of a GST/HST registrant, it provides a six-month period during which no return for the individual or estate is required.
• Excise duties: Changes rules for cigars, cannabis and vaping products; sets a new limit on packaged raw leaf tobacco imported for personal use; permits CRA relief for brewers in certain circumstances; and extends certain licences’ maximum validity from two to three years.
• Authorizes CRA information sharing with international tax authorities where Canada has an information-sharing agreement.

Part 4 — Various measures

Financial institutions, housing and insolvency

• Prohibits financial institutions from issuing bearer-form documents and provides for replacement of existing documents. It requires non-discriminatory offering or sale of deposit products in certain circumstances.
• Provides immunity from actions against Canada and federal officials for acts or omissions made in good faith under specified financial-institution laws.
• Raises the limits on outstanding Canada Mortgage and Housing Corporation guarantees and on insured loans under the residential mortgage insurance legislation.
• Lets the Superintendent of Bankruptcy seek court orders concerning specified unlicensed, solicitation or materially misleading activities, and increases maximum fines for certain offences.

Government, employment and regulation

• Authorizes regulations on conditions for public contracts and on who may complain to the Procurement Ombudsman and which complaints may be reviewed.
• Raises the maximum amounts for using the Tax Court’s informal appeal procedure; protects confidential information obtained or prepared under the Retail Payment Activities Act.
• Prohibits non-compete clauses and other employment-related restrictions under the Canada Labour Code, subject to exceptions.
• Eliminates the Canadian Human Rights Commission’s Deputy Chief Commissioner position and deems its holder appointed Chief Commissioner. It reduces the International Development Research Centre board from 14 members to 12.
• Changes the tobacco and vaping legislation’s review cycle from every two years to within five years after the previous report is tabled in both Houses, and specifies a reporting period.
• Replaces mandatory pesticide re-evaluations with a requirement for the Health Minister to initiate one after an assessment establishes reasonable grounds to believe risks have increased significantly.
• Prevents Official Languages Act provisions and instruments made under that Act from being exempted under Part 2 of the Red Tape Reduction Act.

Nunavut lands and defence

• Allows the Governor in Council, when of the opinion that it is in the national interest, to make orders affecting certain Nunavut prospecting licences, claims and leases, including cancellations and prohibitions. The Minister of Northern Affairs may determine whether compensation is paid to certain mineral-rights holders and its amount.
• Establishes a Defence Investment Agency to assist its minister