Canada Tax Agency Announces Increase to Lifetime Capital Gains Exemption Limit for 2022

The Canadian Revenue Agency Jan. 24 announced an increase in the 2022 lifetime capital gains exemption limit on the disposition of qualified small business corporation shares, to C$913,630 (US$683,628) from C$892,218 (US$667,606). Taxpayers may deduct up to C$456,815 (US$341,814), because half of the capital gains on share dispositions are included in taxable income. [Canada, Canada Revenue Agency, 01/24/23]

Reference: View Capital Gains Deduction Limits. View Announcement. View Guidance.