Explainer: What are Canada's worst tax loopholes?

By 9 August 2022

The Canadian government loses over 40 billion dollars every year because of tax loopholes.

Most of that money ends up in the pockets of large corporations and very rich people, whose wealth would continue to grow even if those loopholes were closed.

Meanwhile, the public services we all benefit from such as healthcare, education, public transport, and protecting the environment, remain underfunded.

 

Canada's worst tax loopholes:

 

Briefing Package: Fair Tax Priorities for Budget 2022

By 24 March 2022

The new Supply and Confidence Agreement between the Liberal Party and the NDP promises quick action on dental care, pharmacare and long-term care to bring about substantially better healthcare for all Canadians. It also ramps up investments in affordable housing and climate action. New funds need to be identified in Budget 2022 and beyond in order to make these commitments a reality.

The federal budget should include immediate action to close tax loopholes and uncover tax cheats, raise the corporate tax rate, and implement a wealth tax.

 

CCPA's Alternative Federal Budget 2026 - Taxation

Published on: 27 October 2025

Report

Unfortunately, new federal government policies are taking us backwards on tax fairness. The government recently eliminated the consumer carbon tax, which returned more money to most low-income families than they paid. A few days later, it cancelled the partial closure of the capital gains loophole, one of the features of our tax system that most benefits the ultra-wealthy.

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