Freeland moves for separate Commons vote on capital gains tax changes

Finance Minister Chrystia Freeland intends to ask Parliament to approve proposed changes to capital gains taxation in a stand-alone bill — a move that will force the federal Conservatives to take a specific position on the measure.

The most controversial announcement from her recent federal budget is not included in the motion she tabled Tuesday to introduce budget legislation in the House of Commons.

That motion includes many other measures announced in the April 16 spending plan, including the national school food program, updates to programs that help first-time homebuyers and tax changes for people who own short-term rentals.

It does not say anything about the proposal to adjust the proportion of capital gains that get taxed, known as the inclusion rate.

Right now, the government taxes 50 per cent of capital gains, or profits made from the sale of assets, including stocks and secondary properties.

Freeland is proposing to increase that to two-thirds of all capital gains realized by corporations, and any amount in excess of $250,000 in one year for individuals.

The changes are expected to come in a separate piece of legislation.

Hiving it off will force opposition parties to take a specific position on capital gains, rather than a laundry list of budget policies that are subject to a single vote.

The federal Conservatives have not taken a position yet on the proposed capital gains tax changes, despite coming out against the budget overall.

During a news conference on Tuesday, Freeland would not explain the absence of the capital gains tax changes in the proposed budget legislation.

She said the government needs to raise more tax revenue to pay for priorities like housing.

«Our view is it is absolutely fair to ask those in our