Capital Gains Tax & Lifetime Capital Gains Exemption Guide 2025

Page summary

The proposed 66.67% capital gains rate was cancelled. Learn about the $1.25M LCGE and new Canadian Entrepreneurs' Incentive.

• Article details: Tax Planning; published November 30, 2025; 9 min read.
• As a business owner in Markham or anywhere across Ontario, you've likely wondered how capital gains taxes will impact your bottom line when you eventually sell your business. The good news? Recent changes to Canada's capital gains rules have created significant opportunities for tax savings. But understanding these opportunities requires keeping up with the latest developments, including a major announcement that saved business owners hundreds of thousands of dollars.
• The Game-Changing News: Capital Gains Inclusion Rate Remains at 50%
• Here's what you need to know right away: Prime Minister Carney cancelled the proposed increase to the capital gains inclusion rate. This is massive for Canadian business owners and investors.
• Remember: Capital gains rules in Ontario and Canada are complex, with numerous conditions and limitations. This guide provides general information for educational purposes. The examples and calculations are illustrative and may not reflect your specific tax situation. Always consult with a qualified tax professional or accountant for advice tailored to your circumstances before making significant financial decisions.
• Ready to optimize your capital gains strategy? Contact ARMalik Professional Corp today for a personalized consultation. Our team of experienced CPAs in Markham is here to help you maximize your tax efficiency and plan your business exit strategically.

Related pages

• Blog: Browse more Canadian tax and accounting articles.
• Tax Planning & Advisory: Get advice before tax decisions become filing problems.
• Contact ARMalik: Ask a Markham CPA about how this topic applies to your situation.

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