Middle-Class Personal Tax Cut Effective July 1, 2025

The federal lowest income tax rate is cut from 15% to 14%, affecting taxable income up to C$57,375  . For 2025, mid-year implementation brings an effective rate of 14.5%, dropping fully to 14% in 2026. This benefits nearly 22 million Canadians, with savings averaging up to $420/person or $840/couple, totaling over $27 billion over five years