Budget's middle-class tax cut aimed at cost

OTTAWA — As Canadians struggle amidst Canada’s ongoing cost-of-living crisis , many are looking toward the budget for relief.

A number of previously announced measures, including automatic tax filing for low-income Canadians , making the National School Food Program permanent, a middle-class tax cut and the “cancellation” of the consumer carbon tax, were included in the budget.

A key election promise by Prime Minister Mark Carney, legislation for a middle-class tax cut — applicable to those who earned up to $57,375 in 2025 — is before the House as part of Bill C-4.

The legislation would reduce tax rates in that bracket from 15% to 14%.

The cuts will save nearly 22 million Canadians upward of $420 per person. The measures are expected to bring $27.2 billion in tax relief over five