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Canada: 2025 direct and indirect tax rates and other changes to consider for tax accounting purposes

Changes that may need to be reflected in year-end financial statements

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January 9, 2026

Corporations and other organizations preparing financial reports need to be aware of certain 2025 Canadian income tax rate and other changes that may need to be reflected in year-end financial statements.

Read a January 2026 report prepared by the KPMG member firm in Canada that summarizes Canadian federal and provincial/territorial income tax legislation substantively enacted or enacted between July 1, 2025, and December 31, 2025, as well as select outstanding income tax measures affecting businesses that have been announced, but are not yet substantively enacted, including 2025 federal budget measures.

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