Factbox-Highlights from the Government of Canada’s Fall Economic Statement

OTTAWA (Reuters) – Below are some of the key proposals and conclusions from the annual fall economic statement released by Canada’s Finance Minister Chrystia Freeland on Thursday.[nO8N2N5027[nO8N2N5027[nO8N2N5027[nO8N2N5027

Introduce a 2% tax on the net value of all types of share buybacks by public companies in Canada, similar to a measure recently introduced in the United States. The details of this new tax will be announced in the 2023 budget, and the tax would come into effect on January 1, 2024.

Issue a C$500 million ($364 million) Ukrainian Sovereignty Bond, the proceeds of which will be used to support the government and people of Ukraine.

FEDERAL INTEREST-FREE LOANS FOR STUDENTS AND APPRENTICES

Make all student loans and apprentice loans permanently interest-free, including those in repayment, starting in April.

REDUCED CREDIT CARD TRANSACTION FEES FOR SMALL BUSINESSES

Reduce credit card transaction fees for small businesses by negotiating with payment card networks, financial institutions, payment processors and businesses. Introduce legislation in 2023 to regulate credit card transaction fees if agreement is not reached with industry.

Providing C$4 billion over six years starting in 2022-23 to

low-income people through an advance payment.

SUPPORT FOR PROVINCES AFFECTED BY HURRICANE FIONA

To set aside C$1 billion in 2022-23 to assist provinces affected by Hurricane Fiona through disaster financial assistance arrangements.

IMPROVING REGULATORY PROCESSES FOR MAJOR PROJECTS

Providing up to C$1.28 billion over six years, starting in 2022-2023, to the Impact Assessment Agency of Canada, the Canada Energy Regulator, the Canadian nuclear safety and ten other federal departments. The funding is intended to help agencies improve their response time while assessing the large number of environmental projects.

Introduce previously announced legislation to make housing more affordable, including a tax-free savings account for first-time homebuyers, a first-time homebuyer’s tax credit and an income tax. profits from turnaround properties held for less than 12 months.

($1 = 1.3733 Canadian dollars)

(Reporting by Ismail Shakil in Ottawa; Editing by Denny Thomas)

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