Good morning, and welcome to tax season. In focus today, we look at what’s new for taxpayers, and what’s at stake for the Canada Revenue Agency.
Up first
In the news
Trade: The United States Trade Representative says a potential deal with Canada must include higher tariffs and increased market access.
Energy: A new U.S. proposal could revive Keystone XL pipeline assets but would need Trump’s approval.
Economy: BMO and National Bank say they expect uncertainty over negotiations with the U.S. to put more pressure on Canadian consumers and businesses.
There's a lot going on here, I know. But consider its Dali-like expression of temporal boundaries, transient currency, finite grains of sand bleeding into gold, the world ever-twirling. Tax season.Natalya Kosarevich/iStockPhoto / Getty Images
In focus
What to know about tax season 2026
This year, the stakes are high for both taxpayers and the Canada Revenue Agency. Two years ago, Erica Alini reports, complex new regulations on trusts and vacant homes caused so much confusion that many of the rules had to be suspended, rewritten or scrapped.
And last year, chaos followed the Trudeau government’s 11th-hour reversal on the capital-gains tax hike, along with technical issues that resulted in missing tax slips for many people.
From Alini, The Globe’s personal economics reporter, here are five things to know about taxes in 2026:
1. Clear sailing ahead
At least, in theory. This is the year that the CRA needs to show it can again run tax season without any egregious hiccups. The federal government’s November budget contained few changes to personal income taxes, the agency hasn’t had to rush to make a slew of last-minute changes, and Ottawa has ramped up staffing in an attempt to improve service and call-centre delays.
2. Key dates
- Feb. 23, 2026: Canadians can file their 2025 tax returns online, although most people will have to wait a little longer before they’ve received all the tax slips they need to file.
- Anyone who hasn’t received all their slips by the end of March should contact issuers – such as their employer or their bank – directly to ask for a copy of the missing paperwork, the CRA said on its website.
- April 30, 2026: There are no weekends interfering with tax-filing deadlines this year. Most Canadians will have to file and pay any taxes owed by April 30 to avoid penalties and interest.
- June 15, 2026: Self-employed individuals must also pay by April 30 but have until June 15 to send in their tax returns.
3. Tax changes
A cut to the lowest federal personal income-tax rate. The Carney government reduced the lowest marginal rate to 14 per cent from 15 per cent at the start of July, 2025. Since the tax cut happened in the middle of the year, the full-year marginal rate for 2025 works out to 14.5 per cent.
A temporary top-up tax credit. Ottawa created a temporary “top‑up” to make sure its cut to the lowest tax rate doesn’t accidentally shrink the value of common tax credits. It’s a kind of safeguard that keeps people from losing more in credits than they gain from the tax cut, and it stays in place until 2030.
4. New digital services
- Reducing the need to call: The tax agency has rolled out new digital self-help options in hopes of reducing the volume of calls – and waiting times – at its call centres this tax season. Canadians can speak with the agency’s AI-powered chatbot, for example, over an expanded range of questions.
- Payment plans: Canadians will also be able to set up payment plans online, without speaking to a collections officer, if they owe $1,000 or more in taxes.
5. Pain points
In December, the CRA said the percentage of incoming taxpayer calls it was answering on average rose from 35 per cent to 70 per cent after it reversed recent cuts to call-centre staff.
The true test of the CRA now, after Ottawa’s efforts to ramp up staffing, will be what share of Canadians can get through to an agent during peak traffic times closer to the tax-filing deadlines.
But even when someone does pick up the phone, Canadians are often getting inaccurate responses. In a scathing report last year, federal Auditor-General Karen Hogan found that CRA agents give out incorrect information almost 30 per cent of the time.
Charted
Travel trouble
Canada’s tourism industry should account for 7 per cent of the country’s GDP, entrepreneur Zita Cobba argues. “But we’ve got to help people get to Canada, whether they’re coming through Vancouver or Toronto or Montreal. And then we need what every other OECD country has, but we don’t, which is a regional air access network.”
Quoted
This moment is a window of opportunity, and we don’t know which of the actors in positions of power will take advantage of it.
— Julio César Franco Gutiérrez, human security specialist
In Mexico’s small towns and rural areas, cartel retaliation has residents on edge.
Up next
More files we’re following
At the bell: Earnings today include Toronto-Dominion Bank, Royal Bank of Canada, and Canadian Imperial Bank of Commerce. Oh, and Intuit Inc. Prediction: With U.S. tax season also under way, the outlook for its services will be strong.
By the numbers: Canada reports December employment data today, and quarterly economic growth tomorrow.
Morning update
World stocks were at all-time highs as nerves around AI disruption continued to fade and traders digested Nvidia’s numbers.
Wall Street futures were in the red after all three major U.S. stock indexes ended higher on Wednesday. TSX futures followed sentiment lower a day after Canada’s main stock index rose to a record high.
Overseas, the pan-European STOXX 600 rose 0.16 per cent in morning trading. Britain’s FTSE 100 advanced 0.18 per cent, Germany’s DAX gained 0.28 per cent and France’s CAC 40 was up 0.78 per cent.
In Asia, Japan’s Nikkei closed 0.29 per cent higher, while Hong Kong’s Hang Seng ended 1.44 per cent lower.
The Canadian dollar weakened against its U.S. counterpart.