Backing Canada's next generation of entrepreneurs

$715M net impact on the budgetary balance over five years, 2026-27 to 2030-31.

The cost line

… no change to existing funding or no fiscal implication · – a further extension will be considered later · 0* less than $0.5 million. Positive numbers cost the budget (spending or forgone revenue); negative numbers improve it.

What the budget says

“This includes: Introducing the Canada Growth Incentive to help high-potential businesses attract investment and grow in Canada, consisting of two measures: introducing a new tax exemption for Canadian builders on up to $15 million in capital gains earned from successful investments in eligible Canadian companies and enhancing the small business rollover to allow increased”

Budget 2026, p. 115 (PDF p. 125)

Key facts

• Introduces the Canada Growth Incentive: a new capital gains exemption and a rollover for investments in small businesses (see the tax annex). Budget 2026, p. 115 (PDF p. 125)

Amounts named in the text

Stated amounts can cover different periods, cash or accrual bases, previously announced money and loans. They are not additive with the cost line above.

• $15 million
• $715 million
• $25 million

Also in this section

• Kickstarting Canada's Investment Supercycle with the Productivity Mega Deduction$36.1BTax measureBusinessesTradesInvestment
• Helping Canadian innovators scale at home$94MProgram spendingLoans, equity or financingBusinessesInvestment
• Boosting innovation and commercialisation$936MTax measureBusinessesInvestment
• Unleashing billions for Canadian businesses with the Canada Investment Summit$181MProgram spendingBusinessesInvestment
• Mobilising private investment to modernise Canada's airports$42MProgram spendingInvestmentInfrastructure & transportPublic work
• Rewarding innovation by helping Canadian ideas and talent succeedno cost lineNo cost line