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Thursday, October 9, 2025

Tech sector slams Liberals’ capital gains tax hike as “irreparable harm”

By
Isaac Lamoureux, True North Wire
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Source: Unspalsh

The Liberal government’s 2024 federal budget has sent shockwaves through Canada’s tech sector, with sweeping increases to capital gains taxes being the main cause for concern. 

Leaders within the industry are voicing criticism at the Liberals, suggesting that further taxation could drive businesses and talent south of the border.

The budget, delivered by Finance Minister Chrystia Freeland, raises the inclusion rate for capital gains tax from 50% to 66% for individuals on amounts exceeding $250,000. The amendments to the Income Tax Act will come into effect on June 25, 2024.

The Liberals expect to make $19.4 billion over the next five years from raising the capital gains tax.

Benjamin Bergen, president of the Council of Canadian Innovators, explained in his organization’s response to the budget that the best way for the government to boost its revenue is to drive economic growth and productivity gains by helping Canada’s innovators.

“We hope that Minister Freeland and the Liberal government will listen to innovators and adjust this proposed tax hike before they do irreparable harm to the Canadian innovation economy,” he said.

If they do not, it may be too late, warned Bergen.

“At some point before too long, Canadians will go to the polls and judge this government not on its good intentions and future announcements. We will judge this government on the actual results they have driven for the Canadian economy,” he concluded.

Canada’s tech sector, as well as innovation and entrepreneurship, has more issues with the budget than just capital gains tax.

Local entrepreneur Boris Wertz noted the reasons he felt that the Liberals had “lost their plot on innovation and entrepreneurship.”

His biggest concerns were “trying to pick winners (e.g. superclusters); proposing very rigid AI regulations; dramatic increase of number of public sector employees; (and) increasing capital gain rate.”

The budget promises to invest $2.4 billion in AI support, $5.1 million of which will be dedicated toward the Artificial Intelligence and Data Act — ensuring that AI is “safe and non-discriminatory,” according to the Liberal government. 

Bergen’s concerns echoed far and wide across the tech sector.

Kim Furlong, CEO of the Canadian Venture Capital and Private Equity Association, said that her organization is “baffled” by the Liberals’ decision to increase the capital gains tax.

“This measure, which effectively taxes innovation and risk-taking, will significantly dampen Canada’s entrepreneurial spirit, stifle economic growth in critical sectors of our economy, and impact job creation. Such policy change undermines Canada’s position to attract the talent needed to grow and scale companies here,” she said. “CVCA will work tirelessly to reverse this decision,” said Furlong.

The founder of a venture capital firm, Christian Lassonde, said that Canada is desperate for new investment dollars.

“What does this government do? Punish investing. You can’t make this stuff up,” he wrote in a post to X.

President and CEO of the Canadian Federation of Independent Business, Dan Kelly, said that the capital gains tax changes will demotivate Canadians from starting businesses in the first place.

“Several sectors of Canada’s (small and medium enterprises) community will be hit with higher capital gain taxes on business sales above $2.25 million, including restaurants, hotels, doctors’ offices, insurance brokers, real estate firms, recreation and arts and recreation firms,” said Kelly in a post to X.

Armon Shokravi, co-founder of a software development business, explained in a post to X that the tax changes, of an inclusion rate from 50 to 66%, would increase the net capital gains tax from 27% to 36%, compared to the United States, who have a tax rate of 20%.

“In my conversations with Canadian entrepreneurs, it’s clear: They’re feeling less motivated to build businesses here when moving just a bit south could mean saving a lot more,” he said. 

The president of Shopify, Harley Finkelstein, expressed his disbelief at Canada’s decision.

A respondent to his post explained that the United States has federal and state capital gains taxes, making it less of a gap than people are saying.

However, Finkelstein said, “It was quite literally the only thing that made us competitive on that front.” 

Another X user defended Finkelstein, explaining that Florida and Texas don’t have state capital gain taxes, which is where many businesses have been moving.

Independent MP Kevin Vuong shared a text message from a local business owner.

The former founder, who works in the tech sector, said that they and their partner sat down last night and began the process of moving to the United States. 

“We’re leaving to a country that celebrates entrepreneurs and innovation,” they said. “The world is too competitive for talent and Canada is not competitive anymore.”

CBC receives $42 million in additional funding under Liberals’ new budget

By
Quinn Patrick, True North Wire
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Source: cbc.ca

The federal budget includes tens of millions of dollars more for CBC.

The funding comes at a time of further declining subscriptions and ad revenues last year and potential layoffs.

The budget document says the funding ensures “Canadians across the country, including rural, remote, Indigenous, and minority language communities, have access to high-quality, independent journalism and entertainment.”

CBC president Catherine Tait called the new funding “welcomed news” after saying the state broadcaster may have to cut 800 jobs in December to address the $125 million shortfall projected for the fiscal year. 

The shortfall however, did not affect executive perks, with senior CBC personnel making off with $14.9 million in bonuses last year. 

According to documents received by the Canadian Taxpayers Federation, CBC distributed bonuses to 1,143 CBC staff members as of October 26, 2023. Once data for November and December are made available, the figure has the potential to rise. 

“This investment, together with the steps we have taken since December, means we will be able to stabilize our operations, preserve jobs and continue to invest in programs and services,” said Tait in a statement.

The newly announced $42 million is in addition to the $1.4 billion already allocated to CBC in government funding for 2024-25. 

That figure does not include the CBC’s commercial revenue. 

In addition to the CBC, the budget also includes $58.8 million in funding for other media outlets and arts and culture institutions over the next three years. 

“To support the production of independent, reliable, and diverse local news across the country, the government announced $58.8 million over three years, starting in 2024-25, to the Department of Canadian Heritage for the Local Journalism Initiative. This support would be available to written press, community radio and television, and online news services,” the budget says.

There will also be $15 million given to the Department of Canadian Heritage for “public interest programming services.”

Canada’s film and music industry will also receive funding, including $23 million for the Toronto International Film Festival. The Shaw Festival, which hosts theatre performances, will also receive $15 million as well. 

Ottawa’s National Arts Centre, which organizes events across Canada, will receive $45 million over the next three years. 

The Canada Book Fund will get $10 million from taxpayers over the same time period to support Canadian authors and publishers. 

Anti-Israel protests surge after Iranian drone attack

By
Clayton DeMaine, True North Wire
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Source: Unsplash

Protesters at anti-Israel demonstrations across Canada ratcheted up their rhetoric after Iran launched hundreds of drones and missiles aimed at military targets in Israel.

In Toronto, Calgary, Ottawa, and Montreal some protesters gathered in celebration of the attack, while others seized the opportunity to show support for the totalitarian regimes in Gaza and Iran.

A pro-Palestine protest in Toronto was interrupted by the news that “the Islamic Republic of Iran has just sent tens of drones towards Israel.” The crowd, who had gathered to call for a ceasefire in Gaza, cheered at the news.

At a rally outside Calgary Mayor Jyoti Gondek’s office, a man gave a Nazi salute while holding an image of the Iranian supreme leader, Ayatollah Ali Khamenei.

In Ottawa, a group of protesters chant to the tune of Yankee Doodle, the American patriot song, “they (Jews) say that they’re indigenous but they all came from Europe. Leave Palestine alone…and then go back to Europe.”

Montreal protesters sang too, but in this instance it was to swear allegiance to Yahya Sinwar, the leader of Hamas and the orchestrator of the Oct. 7 terrorist attack in which, Hamas killed over 1,200 people and abducted 240 more.

Richard Robertson, the director of research and advocacy at B’nai Brith, a Jewish rights organization in Canada, spoke with True North on the rise of antisemitism in Canada.

“It was incredibly disheartening to see praise for the ayatollah in celebration of the Iranian attacks…(and) some of the chanting for Jews to go back to Europe in the immediate wake of the Iranian attack on Israel this weekend,” Robertson said.

Though disheartened, Robertson doesn’t think any of this is new or surprising.

“This is what happens from the exacerbation and the continuation of months of incitement and the emboldening of vitriolic protests by the inaction on the part of our municipal, provincial and federal leaders,” Robertson said “This is the result of months of incitement that has (been) allowed to continue unabated.”

He said the protests are inciting and emboldening hatred, and some Canadians participating in the rallies might not fully realize they are helping to promote antisemitism.

“Many individuals partaking in the protests may not even appreciate the sayings and the chants that are being utilized, many of which are calling for the erasure or the destruction of the state of Israel, that’s genocidal,” Robertson said. “They are calling for the destruction of the Jewish homeland, the only Jewish nation state on earth, and oftentimes, are denying Jews of their indigeneity. This is all very harmful. It’s caustic, and it’s an affront to Canadian morals and values.”

B’nai Brith advocates for the government to enforce existing laws and to proactively stop the fomenting of hate at these protests.

“B’nai Brith has been clear from the outset, there is no place for days of hate like, Al-Qud’s Day and like what some of these rallies have devolved into in Canada,” Robertson said. “We’ve asked, government not to ban protest, but to prevent the escalation of protests into environments that are conclusive of the proliferating of antisemitism and the fomenting of hate.”

B’nai Brith is also looking to expand protections for Jewish people under the Criminal Code, which prohibits Holocaust denial and distortion but Robertson feels should be expanded to “all forms” of antisemitic hate speech.

“The longer these protests are allowed to continue without a stern response from our authorities, the more emboldened those who participate in them get.”

The Andrew Lawton Show | No end in sight for Trudeau’s spending

By
Andrew Lawton
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Source: Facebook

The federal government unveiled its latest budget yesterday and, surprise surprise, it’s full of big spending with no plan to balance the budget. But the Liberals did find room to shovel more money to CBC and over a billion dollars to “combat hate.” True North’s Andrew Lawton unpacks it with Franco Terrazzano of the Canadian Taxpayers Federation and Catherine Swift of the Coalition of Concerned Manufacturers and Businesses of Canada.

Plus, Andrew shares his interview with Christine Van Geyn of the Canadian Constitution Foundation from the Canada Strong and Free Network conference about the dismal state of civil liberties in Canada.

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The Daily Brief | Trudeau spends more and has no plans to balance budget

By
Cosmin Dzsurdzsa
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Source: Facebook

The Liberals unveiled a $40 billion deficit and $115 billion in new spending over the next five years with no plans to balance the budget.

Plus, a True North exclusive reveals how a GTA elementary school is selling pride-themed swag in its “School Spirit” shop.

And the Parti Québécois is calling for another referendum on Quebec independence.

These stories and more on The Daily Brief with Cosmin Dzsurdzsa and Lindsay Shepherd!

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Finance minister calls Alberta government workers’ bargaining demands ‘extreme’

By
Rachel Parker, True North Wire
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Source: Facebook

Alberta civil servants are making unreasonable demands at the bargaining table, the province’s finance minister says.

Minister Nate Horner lambasted the Alberta Union of Provincial Employees’ push for a 26% raise over three years as “extreme.”

The union claims government employee wages have fallen behind.

Horner said the province is offering a 7.5% increase over four years. 

“Given the union’s extreme wage positions, working towards a fair and reasonable settlement in a timely manner will be difficult,” Horner said in a statement. 

“The Alberta government will not increase taxes or cut programs, services, or workers to give unprecedented salary increases that will result in pay well above market rates.” 

Neither Albertans nor Canadians have seen a wage increase of 26%, he noted. 

Horner also said the Conference Board of Canada found most working Albertans received a salary increase between 2% to 3% in 2023 and 2024. The province analyzed market wages across the country and did not find any publicly funded employees receiving the type of settlement the union is demanding, he said. 

More than 22,000 union employees fall under the negotiations, including those in social services, natural resources conservation, and corrections. 

In a previous update to members, the union called the government’s opening four-year offer an insult.

“There is no reason that any government worker should be unable to afford food, clothes and rent while working full time for the government of a very wealthy province,” said the union’s update in February.

Union president Guy Smith said the government has been aware of the union’s proposals since Mar. 6, and the union won’t budge. 

“The cost of living has increased for everyone, and every worker has the right to fair, livable compensation from their employers,” he said.

Governor General’s online harms symposium raises impartiality concerns

By
Isaac Lamoureux, True North Wire
-
Source: Facebook

Rideau Hall is facing criticism for being too partisan after hosting a panel on “online harms.”

Governor General Mary Simon hosted a symposium on the very topic the Liberals are trying to regulate through their controversial Bill C-63, dubbed the Online Harms Act. 

The bill contains fines of up to $70,000 for online speech and life imprisonment for hate crimes. 

In a post to X, the Governor General said that “everyone plays a part in shaping a positive digital world.”

Blacklock’s Reporter publisher Holly Doan reported that no critics of Bill C-63 were invited to the conference. 

Guests that were invited, however, included ex-CTV host Lisa LaFlamme, TikTok commentator Rachel Gilmore, transgender activist Fae Johnstone, Ottawa-Carleton District School Board trustee Nili Kaplan-Myrth, and Canada’s top public health official, Theresa Tam.

The Governor General’s office told True North that the symposium “aimed to shine a light on the rise of toxic online discourse.” The office added that “a diverse range of individuals and organizations with experience and expertise in dealing with online abuse were represented at the symposium.”

Justice Minister Arif Virani was also in attendance, and used the forum as an opportunity to promote Bill C-63.

“With industry experts at the Governor General’s Symposium, we discussed this and our Online Harms Act to create a safe experience for everyone,” he wrote. 

Rideau Hall denied that the event was partisan in nature.

“The Online Harms Act was not on the Agenda or part of the panel discussions,” said Simon’s office.

The Governor General thanked everyone who attended in a post to X.

“I extend my deepest gratitude to everyone who participated in last week’s symposium. Your stories are a powerful reminder of the urgent need for more conversations on the critical issue of toxic online commentary,” she wrote.

The Governor General’s constitutional duty is to remain non-partisan and apolitical.

She failed to do so, according to many sentiments and replies online.

“We need a public investigation into how you got the GG to hold a… partisan tea party to support your hideously unconstitutional censorship legislation. I really didn’t think you could be worse than your predecessor as justice minister, but you’ve proven me wrong,” said Jonathan Kay, writer and editor for the Quillette, in response to Virani.

The blame doesn’t fall solely on the Governor General, according to professor and esteemed researcher Philippe Lagassé, who said her office should have stepped in to stop this.

“GGs can champion causes. They can raise awareness and convene. It doesn’t need to be all medals and ribbon cutting. But basic questions can and should be asked: Is this issue currently a matter of partisan debate? Could my office’s involvement be leveraged by a party?” wrote Lagassé.

In an article published by the Macdonald-Laurier Institute, Lagassé noted that Simon should have realized that the symposium was no longer appropriate after C-63 was tabled. Lagassé added that any doubts about the impartiality of a Governor General undermine trust when it’s needed most.

The Governor General has recently started a “We Deserve Better” campaign, highlighting the issues around online abuse and harassment, hoping to raise awareness and empower people to stand up against online harms.

Lagassé said that Simon’s first step to maintaining impartiality should be to abandon the campaign.

The Online Harms Act passed its first reading in the House of Commons Feb. 26, 2024. It is currently at its second reading. 

True North reached out to the Governor General’s office but received no response.

Suspicious package at Queen’s Park was gravy, police confirm

By
Quinn Patrick, True North Wire
-
Source: Facebook

The gravy train was intercepted by police at Queen’s Park.

Toronto Police Service responded to calls of a suspicious package that had been dropped off at Ontario’s capital – but it turned out to be a packet of gravy.

The incident occurred around 11:30 am on Tuesday, after police were called to the Ontario legislature to investigate reports of a suspicious package. 

Portions of the building were evacuated as a precautionary measure on the possibility that the package contained explosive material, rather the base for a succulent sauce.

An officer with the explosives unit ultimately determined that the package contained nothing more than powdered gravy.

Toronto police believe the package was intended to be a joke and possibly connected to a gag made by former interim Ontario Liberal Party leader John Fraser, who sent Premier Doug Ford a can of gravy last week. 

Fraser’s gift was a nod to Ford’s political talking point about ending the Liberals’ “gravy train” of spending. 

However, there is no concrete evidence of a connection between the two incidents. 

Trans military chaplain suspended over alleged sexual groping comment

By
Cosmin Dzsurdzsa, True North Wire
-
Source: X (@CanadianForces)

A Royal Military College chaplain who was hailed by the Canadian military as an LGBTQ champion on Transgender Day of Visibility has been suspended following an alleged groping request. 

The Department of National Defence confirmed to True North that Capt. Beatrice Gale’s chaplaincy was revoked and the member was found to have violated military rules in a summary hearing because of “an inappropriate comment or request to another individual.” Gale was born a biological man but identifies as a woman.

“This incident stems from an inappropriate comment or request to another individual. Neither member was in a position of authority over the other,” DND spokesperson Andrée-Anne Poulin told True North. 

Gale received a relatively minor service infraction: on Apr. 3, Gale was found to have violated the Queen’s Regulations and Orders, which govern military conduct and affairs. 

The specific service infraction was for somebody who “otherwise behaves in a manner that adversely affects the discipline, efficiency or morale of the Canadian Forces.” 

“The mandate for Captain Gale to serve as a Canadian military chaplain remains suspended. The Chaplain General will consider the implications of the summary hearing’s outcome to determine if additional administrative actions within their authority are required,” said Poulin. 

Chaplains at the Royal Military College offer spiritual and religious care for CAF members as well as cadets studying at the institution. Part of their role includes facilitating religious services and counselling members seeking advice on religious, ethical or moral issues. The types of problems chaplains deal with include grief, addiction, suicidal thoughts, abuse and family problems. 

DND said Gale was disciplined with two days of docked pay and the removal of 20 days of leave. Gale is now on administrative duties but remains at the college.  

According to lawyer Phillip Millar of Millars Law, the specific infraction is used by the military as a “catch-all.” Millar, a former combat officer, frequently represents Canadian Armed Forces members in litigation.

“It appears to be an attempt to bypass the prohibition against prosecuting sexual offences. I know they are using the administrative system to punish for things they cannot successfully prosecute. The vaccine mandate is the clearest example of this,” said Millar.

One source familiar with the incident who chose to remain anonymous over fears of personal and professional retaliation alleged that Gale had become intoxicated during a dinner in the mess hall and asked to grope a male lieutenant’s buttocks. 

True North reached out to Gale for an opportunity to comment but did not receive a response. 

Millar said the way the military handled the conduct reveals a double standard.

“If a male officer behaved in a similar manner towards a subordinate female, the situation would be dealt with differently, and the offender’s name would be leaked to the press. Unfortunately, there is a lack of equality in how the Canadian Armed Forces handle such allegations,” said Millar. 

When asked why the Canadian Armed Forces didn’t refer the matter to civilian police as the military has done before on other cases where sexual assault or harassment was suspected, DND said that the case was not referred to civilian authorities by the Military Police due to the consideration of the victims’ interests and those of justice.

“The Military Police (MP) conducted a detailed and thorough investigation into this matter, and after consultation with the Crown, the MP determined that the evidence gathered did not meet the threshold for criminal charges,” said Poulin. 

Last month, the Liberal government introduced a bill to strip the Canadian Forces of the ability to investigate and prosecute sexual offences within the military. The move comes after a string of high-profile sexual misconduct allegations reaching the highest echelons of the military’s leadership. Some of the cases have gone to criminal trial and the military has also prosecuted members accused of groping in the past.  

Additionally, the CAF has decided to withhold the record of Gale’s summary hearing, citing privacy grounds. According to military rules, a summary hearing “is to be held in public” except if the conducting officer believes “information affecting a person’s privacy or security interest, if that interest outweighs the public’s interest in the information” would be disclosed. However, the conducting officer must provide reasons during the hearing to support these measures. 

When True North attempted to request a copy of the charge report and the conducting officer’s written reasons, DND denied the request. 

“Specific personal information about individuals must be protected in accordance with the requirements of the Privacy Act, and as such we won’t be providing the documents,” said DND. 

According to Millar, the military hasn’t extended similar courtesies for much less serious allegations.

“My client was not granted the same leniency for much less serious alleged infractions. However, in the case of a transgender offender who held a position of trust as a padre and a senior in rank, the matter was simply swept under the rug,” Millar told True North. 

“This demonstrates a clear inequality within the CAF in how it deals with offences in order to satisfy the desires of its political masters.”

One week before Gale’s summary hearing, the CAF praised Gale as an LGBTQ champion in a lengthy post titled “International Transgender Day of Visibility: An opportunity to honour our transgender community.”

“Contributions like those of Chaplain (Captain) Gale, the Canadian Armed Forces’ first openly transgender chaplain, who has been generous and candid about her coming out journey, are important,” wrote DND. 

“Chaplain Gale has been a vocal advocate for the rights of transgender members in uniform. Her efforts resulted in policy changes that contributed to more inclusive gender-affirming medical care for CAF members.”

Additionally, in 2023 the CAF produced a five-minute video detailing Gale’s transition “from man to woman.” 

“What I bring to the cadets here is the same thing that any other chaplain would. Most of the cadets that I talk to actually don’t see me as transgender. They see me as a chaplain. For me it’s a really humbling role to be able to hear to talk to people and their concerns, their fears,” said Gale.

Liberals unveil $40 billion deficit with no plan to balance the budget

By
Isaac Lamoureux, True North Wire
-
Source: House of Commons (ParlVu)

The Liberal government’s 2024 federal budget proposes a sweeping $111.2 billion in new spending over the next five years, lacking any strategy to balance the budget.

Finance Minister Chrystia Freeland unveiled the Liberals’ 2024 budget in the House of Commons on Tuesday afternoon.

Many of the key components of this year’s budget had already been announced leading up to Tuesday. Such announcements included billions in new spending and loans, with a significant portion tied to addressing the housing shortage.

Several promises made leading up to the budget included initiatives to help renters improve their credit scores, modifications to savings plans and amortization rules, and billions of dollars in incentives designed to stimulate more home construction.

The federal government also announced a national lunch program, billions for child-care access, additional defence spending, still short of NATO’s target, and a new youth mental health fund.

Freeland pledged, before the budget’s announcement, that the deficit would not increase past its current level of -$40.1 billion. The deficit increased from -$35.3 billion to -$40 billion between 2022-23 and 2023-24.

The budget shows that the deficit will not be increased beyond its current level, but the federal debt as a % of GDP will increase from 42.4 to 42.7% between 2023-24 and 2024-25, decreasing slightly every year thereafter.

The Canadian Taxpayers Federation said that spending will be increased, allowing debt interest charges to eat up $54 billion of the budget.

Conservative leader Pierre Poilievre said that the $40 billion in new deficits will result in Canadian taxpayers paying $2,400 per household in debt interest.

“Debt interest charges are costing taxpayers more than a billion dollars every week,” said Franco Terrazzano, CTF’s federal director.

“Massive deficits mean interest charges will cost taxpayers more than the feds send to the provinces in health transfers this year,” he added.

The Canada Health Transfer to provinces is $52.1 billion for 2024-25, compared to the $54.1 billion in interest charges for this fiscal year.

Canada’s total debt will reach more than $1.2 trillion this year. When Prime Minister Justin Trudeau took power in 2015, the total debt was $616 billion. The debt has since doubled.

“Freeland promised Canadians she would find savings, but when you increase spending by more than $30 billion in one year, you’re saving money wrong,” said Terrazzano. “This government could win the lottery every day and it would still max out its credit card.”

The total expenses for 2023-24 will increase from $497.5 billion to $534.6 billion this year, an increase of $37.1 million, set to increase every year thereafter. The deficit is set to be $39.8 billion in 2024-25. Total expenses will increase to $608.7 billion by 2028-29, an increase of $111.2 billion in spending since fiscal year 2023-24, which ended Mar. 31.

“This government has no plan to balance the budget or save money,” said Terrazzano. “This government’s only plan is to take as much money from taxpayers as it can.”

After Freeland finished her monologue presenting the budget, Poilievre responded.

He explained that this is the ninth consecutive budget with a deficit, after Trudeau had promised that the budget would balance itself 

“Everything he’s spending on has gotten worse. He promised that the deficits would make housing affordable, but it ended up doubling the cost of rent and mortgage payments and down payments to buy a house. He said that the cost of food would be more affordable, and now it costs 30% more, and one in four children aren’t able to get nutritious meals,” said Poilievre.

“The government is rich, and the people are poor. And today, they’re going the same thing over again with $40 billion worth of inflationary deficit.”

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