The Treasury said the parliamentary assembly stipulates that tax proposals such as the capital gains tax measure introduced by the Liberals last year will come into effect as soon as the government issues notice of a ways and means motion.

The Liberals put forward notice of a fundraising motion in September that introduced a bill to increase the rate at which companies pay capital gains tax from one-half to two-thirds. The policy also applies to individuals with capital gains income exceeding $250,000.

CRA will issue taxpayer forms by January 31st

Although currently in recess, Treasury said the CRA will issue taxpayer forms under the proposed capital gains rules by January 31.

The department said the CRA would stop enforcing the proposed capital gains tax reform if Parliament returns and the government says it will no longer implement the policy.

The department’s latest news on capital gains comes a day after Prime Minister Justin Trudeau announced his resignation and prorogued Parliament, eliminating bills and motions that have yet to receive royal assent from the House of Commons and causing confusion over capital gains proposals.

Read more news: