The Minister of Finance presented the new government's first federal budget on 2 May 2006. Budget 2006 contains a significant number of tax measures, including CAD 20 billion in tax relief over 2 years. Key features of the proposed Budget include the following:
Corporate income tax
(a) Federal tax rate. Budget 2006 proposes to reduce the general corporate income tax rate (after the 10% abatement for income earned in a province) to 19% from 21% by 2010. The general corpora…