Federal Budget - April 19, 2021

From pandemic to recovery

On April 19, 2021, the Deputy Prime Minister and Minister of Finance, Chrystia Freeland, presented the government’s budget. Read more about the tax initiatives proposed in the budget in our in-depth Tax Insights.

For additional insights on the impact of the Federal Budget on private companies and the power and utilities sectors, please see below.

Illustration of people stacking money


Emergency business supports

business supports

The Federal Budget extends the wage subsidy, rent subsidy and lockdown support programs to September 25, 2021, and introduces a hiring subsidy program from June 6 to November 20, 2021.

Mandatory disclosure rules

disclosure rules

It enhances Canada’s mandatory reportable transaction disclosure rules (subject to public consultation) for taxation years beginning after 2021.

Interest deductibility limits

deductibility limits

It also limits the deductibility of interest by corporations, trusts and partnerships to a percentage of tax-basis EBITDA, starting taxation years beginning after 2022.

Private Company Services

Accelerating business growth

business growth

The Federal Budget aims to empower private companies as we come out of the pandemic.

Supporting an inclusive workforce

Supporting an
inclusive workforce

It’s focused on the future of work, with supports to help the next generation of workers. A new childcare plan could help retain parents in the workforce, further boosting inclusion and diversity.

Tightening the reins

the reins

But there’s also more oversight in certain areas to prevent the erosion of the Canadian tax base.

Power & Utilities

Economic recovery initiatives

recovery initiatives

The 2021 Federal Budget attempts to align economic recovery initiatives with the federal government’s plans for Canada to become net zero by 2050.

Opportunities for power and utilities

Opportunities for
power and utilities

Canadian power and utilities companies have an opportunity to embrace these new initiatives to support their own transformation.

Focus on the future

Focus on
the future

Energy, power and utilities companies that take advantage of this momentum will be uniquely positioned to succeed as Canada and the world transition to a more interconnected, circular economy.

2021 Provincial and Territorial Budgets

Explore this year’s provincial and territorial budgets in the interactive map below by hovering over each province or territory’s capital city to determine the budget day.  Learn more by reading our Tax Insights, if available.


Federal Budget 2021

Past Federal, Provincial and Territorial Budgets

 2020 Provincial and Territorial Budgets

Contact us

Dean Landry

Dean Landry

National Tax Leader, PwC Canada

Tel: +1 416 815 5090

Shawn Reain

Shawn Reain

National Tax Markets Lead, Compliance.Transformed leader, Partner, PwC Canada

Tel: +1 403 509 6373