warre & vavasourBudget 2026 Explorer

Chapter 4 · 4.3 Advancing reconciliation with Indigenous Peoples

Strengthening the fiscal and institutional capacity of Indigenous governments

Tax measure

$79M net impact on the budgetary balance over five years, 2026-27 to 2030-31.

Net impact by year, CAD millions (accrual)
—2026-27$18M2027-28$20M2028-29$20M2029-30$21M2030-31

The cost line

Chapter 4 cost table, millions of dollars, accrual basis. Budget 2026, p. 249 (PDF p. 265).
Line2026-272027-282028-292029-302030-31Total
Measure…1820202179

… 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

“To further support the fiscal and financial autonomy of Indigenous governments, Budget 2026 proposes to: Update First Nations Personal Income Tax arrangements by proposing to increase the revenue-sharing rate in conjunction with introducing a revenue-sharing mechanism.”

Budget 2026, p. 243 (PDF p. 259)

“Budget 2026 proposes to provide $78.5 million over four years, starting in 2027-28, and $20.6 million ongoing to Crown-Indigenous Relations and Northern Affairs Canada to support this renewal.”

Budget 2026, p. 243 (PDF p. 259)

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.

  • $78.5 million over four years, starting in 2027-28, and $20.6 million ongoing

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