Economic and Fiscal Update Implementation Act, 2021

An Act to implement certain provisions of the economic and fiscal update tabled in Parliament on December 14, 2021 and other measures

This bill is from the 44th Parliament, 1st session, which ended in January 2025.

Sponsor

Status

This bill has received Royal Assent and is now law.

Summary

This is from the published bill. The Library of Parliament has also written a full legislative summary of the bill.

Part 1 amends the Income Tax Act and the Income Tax Regulations in order to
(a) introduce a new refundable tax credit for eligible businesses on qualifying ventilation expenses made to improve air quality;
(b) expand the travel component of the northern residents deduction by giving all northern residents the option to claim up to $1,200 in eligible travel expenses even if the individual has not received travel assistance from their employer;
(c) expand the School Supplies Tax Credit from 15% to 25% and expand the eligibility criteria to include electronic devices used by eligible educators; and
(d) introduce a new refundable tax credit to return fuel charge proceeds to farming businesses in backstop jurisdictions.
Part 2 enacts the Underused Housing Tax Act . This Act implements an annual tax of 1% on the value of vacant or underused residential property directly or indirectly owned by non-resident non-Canadians. It sets out rules for the purpose of establishing owners’ liability for the tax. It also sets out applicable reporting and filing requirements. Finally, to promote compliance with its provisions, this Act includes modern administration and enforcement provisions aligned with those found in other taxation statutes.
Part 3 provides for a six-year limitation or prescription period for the recovery of amounts owing with respect to a loan provided under the Canada Emergency Business Account program established by Export Development Canada.
Part 4 authorizes payments to be made out of the Consolidated Revenue Fund for the purpose of supporting ventilation improvement projects in schools.
Part 5 authorizes payments to be made out of the Consolidated Revenue Fund for the purpose of supporting coronavirus disease 2019 (COVID-19) proof-of-vaccination initiatives.
Part 6 authorizes the Minister of Health to make payments of up to $1.72 billion out of the Consolidated Revenue Fund in relation to coronavirus disease 2019 (COVID-19) tests. It also sets out reporting requirements for the Minister of Health.
Part 7 amends the Employment Insurance Act to specify the maximum number of weeks for which benefits may be paid in a benefit period to certain seasonal workers.

Elsewhere

All sorts of information on this bill is available at LEGISinfo, an excellent resource from Parliament. You can also read the full text of the bill.

Bill numbers are reused for different bills each new session. Perhaps you were looking for one of these other C-8s:

C-8 (2025) An Act respecting cyber security, amending the Telecommunications Act and making consequential amendments to other Acts
C-8 (2020) Law An Act to amend the Citizenship Act (Truth and Reconciliation Commission of Canada's call to action number 94)
C-8 (2020) An Act to amend the Criminal Code (conversion therapy)
C-8 (2016) Law Appropriation Act No. 5, 2015-16

Votes

May 4, 2022 Passed 3rd reading and adoption of Bill C-8, An Act to implement certain provisions of the economic and fiscal update tabled in Parliament on December 14, 2021 and other measures
May 4, 2022 Failed Bill C-8, An Act to implement certain provisions of the economic and fiscal update tabled in Parliament on December 14, 2021 and other measures (recommittal to a committee)
May 4, 2022 Failed 3rd reading and adoption of Bill C-8, An Act to implement certain provisions of the economic and fiscal update tabled in Parliament on December 14, 2021 and other measures (subamendment)
May 2, 2022 Passed Concurrence at report stage of Bill C-8, An Act to implement certain provisions of the economic and fiscal update tabled in Parliament on December 14, 2021 and other measures
May 2, 2022 Failed Bill C-8, An Act to implement certain provisions of the economic and fiscal update tabled in Parliament on December 14, 2021 and other measures (report stage amendment)
April 28, 2022 Passed Time allocation for Bill C-8, An Act to implement certain provisions of the economic and fiscal update tabled in Parliament on December 14, 2021 and other measures
Feb. 10, 2022 Passed 2nd reading of Bill C-8, An Act to implement certain provisions of the economic and fiscal update tabled in Parliament on December 14, 2021 and other measures

Debate Summary

line drawing of robot

This is a computer-generated summary of the speeches below. Usually it’s accurate, but every now and then it’ll contain inaccuracies or total fabrications.

Bill C-8 aims to implement various provisions from the 2021 economic and fiscal update, along with other measures. The bill proposes funding for COVID-19 related initiatives like rapid tests, ventilation improvements in schools and small businesses, as well as support for proof-of-vaccination programs. It also includes tax credits for teachers and northern residents, and introduces a national tax on underused housing owned by non-resident, non-Canadians.

Liberal

  • Supporting COVID-19 measures: Bill C-8 builds upon measures in Bill C-2, providing targeted support for businesses affected by the pandemic, especially the tourism sector. The legislation includes $1.7 billion for rapid tests for provinces and territories to keep Canadians safe and healthy.
  • Proof-of-vaccination programs: The bill allocates $300 million to reimburse provinces and territories for proof-of-vaccination program expenses, which are essential for protecting Canadians and supporting the tourism sector.
  • Ventilation improvements: Recognizing the importance of ventilation in reducing COVID-19 transmission, Bill C-8 provides a 25% refundable tax credit for small businesses to improve air quality and allocates up to $100 million to provinces and territories through the safe return to class fund for ventilation-related projects in schools.
  • Addressing housing affordability: Bill C-8 introduces the underused housing tax act, implementing a national annual 1% tax on the value of non-resident, non-Canadian-owned residential real estate in Canada that is considered vacant or underused, to address housing affordability.
  • Extending business support: The bill extends the Canada emergency business account (CEBA) repayment deadline to December 31, 2023, allowing businesses more time to repay loans and qualify for grant contributions. It would also set a limitation period of six years for debts due under the CEBA program to ensure that CEBA loan holders are provided consistent treatment, no matter where they live.

Conservative

  • Government overspending: Members highlighted that the government is requesting billions in spending without allowing time to review already tabled reports, and indebting future generations. They suggest that this government fails to give Parliament enough time to review expenditures.
  • Address money laundering: Several members suggest that the federal government should focus on money laundering laws in Canada, as that is a significant contributor to high housing prices and has far reaching consequences.
  • Opposed to Liberal spending: The Conservatives are opposed to Bill C-8, saying it adds inflationary fuel to the fire and is not transparent regarding government expenditures. Several members stated that the current economic and fiscal update adds $70 billion of new inflationary fuel right to the fire.
  • Question restrictions: Conservatives believe the government needs to start looking past COVID-19, emphasizing that versions of COVID-19 are going to be with us for a while. They also argue that officials are telling us to start re-evaluating both the lockdowns and the way that governments are spending money.
  • Concerns on housing inflation: Members shared data showing average home prices have significantly inflated, citing government data. They argue that the government's solution to the housing crisis is more programs that inevitably fail and that continue to drive up prices.
  • Re-evaluate COVID policies: Members argue COVID-19 policy responses should continually grow and change in response to new evidence and that the questioning of science and analysis is necessary for scientific progress.

NDP

  • Bill C-8 falls short: While not finding anything particularly offensive in Bill C-8, the NDP feels it lacks the bold action needed to address the challenges facing Canadians. Members highlighted the pandemic, climate change, housing affordability, and the rising cost of living as issues needing more substantial solutions.
  • Criticism of Liberal policies: The NDP criticizes the Liberal government's handling of various issues, including clawing back benefits from seniors, failing to adequately address the long-term care crisis, and not making enough progress on pharmacare. They accuse the Liberals of prioritizing corporate interests over the needs of ordinary Canadians.
  • Housing affordability crisis: The NDP is highly critical of the government's approach to housing, arguing that it is inadequate to address the scale of the crisis. Members emphasize the need for more affordable housing options, rent geared to income, co-ops, and non-market solutions to relieve pressure on the housing market. They also point to broken promises such as banning blind bidding.
  • Supports for struggling Canadians: The NDP expresses concern about the challenges people face in accessing pandemic benefits. Members highlight the inadequacy of current support programs and the need for more accessible and generous assistance for those still out of work due to the pandemic.
  • Inequitable tax system: The NDP condemns tax loopholes that benefit the wealthy and corporations, suggesting that closing these loopholes could generate significant revenue to invest in social programs and address inequality. Members advocate for a fairer tax system that ensures the wealthy pay their fair share.
  • Focus on rural communities: Members discuss the need for changes to the northern residents tax deduction to better reflect the high cost of living in remote communities. They argue for a fairer system that goes beyond an arbitrary line on the map and provides adequate support to residents of rural and remote areas.

Bloc

  • Acceptance of some measures: The Bloc generally supports Bill C-8, particularly measures such as the new refundable tax credit for ventilation expenses, expansion of the northern residents deduction, the school supplies tax credit, and the refundable tax credit for returning fuel charge proceeds to farming businesses.
  • Provincial jurisdiction concerns: The Bloc has strong concerns about the federal government imposing a 1% tax on vacant or underused residential property owned by non-resident non-Canadians, arguing that property tax falls under municipal jurisdiction and sets a troubling precedent for federal interference in provincial matters, which are already fiscally strained.
  • Call for increased health transfers: A key issue for the Bloc is the ongoing underfunding of healthcare by the federal government. They advocate for an immediate increase in health transfers to cover 35% of healthcare costs, indexed at 6%, to address the weakened state of provincial healthcare systems, without strings attached.
  • Focus on labour shortages: The Bloc criticizes the bill for not addressing the labour shortage, calling for measures such as tax credits for young retirees to encourage them to continue working and streamlined processes for recruiting foreign workers, while also opposing measures that encourage commuter work at the expense of regional economies.
  • Affordable housing investments: The Bloc argues that the bill does not invest enough in social and affordable housing, and instead suggests the repurposing of federal properties. They believe that programs within the National Housing Strategy should be financially reconfigured to facilitate the acquisition of buildings by non-profits and co-ops in order to ensure affordability and reduce private sector control over the housing market.

Green

  • Bill is inadequate: Both Green Party speakers stated that they will vote for the bill, but find it inadequate. The measures in the bill are good, but do not go far enough to address the housing crisis or the economic fallout of the pandemic.
  • Underused housing tax: The Green Party believes that the 1% underused housing tax will not meaningfully discourage speculation from investors and that almost everyone is exempt from this tax. They suggest that the government should look at this tax again, and consider if it could be more serious about addressing the reality of the crisis.
  • Missed opportunities: The Green Party feels that there were missed opportunities in the bill to address the crisis in long-term care and to introduce a national pharmacare program. They suggest that the government should prioritize these issues in future legislation.
  • Vaccine equity: A Green Party member would have liked to see in this bill a commitment to move forward to get vaccinations to the developing world. Further, Canada needs to side with India and South Africa at the World Trade Organization and support a waiver under the trade-related intellectual property regime, such that developing countries can manufacture their own vaccines without patent protection for the larger pharmaceutical companies.
Was this summary helpful and accurate?

Economic and Fiscal Update Implementation Act, 2021Government Orders

February 3rd, 2022 / 1:45 p.m.

Liberal

Julie Dabrusin Liberal Toronto—Danforth, ON

Madam Speaker, I think my colleague has some good questions. How can we give our artists predictable and ongoing assistance?

I was not at yesterday's meeting of the Standing Committee on Canadian Heritage to hear the testimony, but if there is something that my colleague would like me to read, I will do so.

For me, the important thing is to figure out how to provide ongoing support and economic assistance to our gig workers. I think it is very important to continue working on the modernization of the employment insurance system, as we were talking about, because it would provide ongoing, predictable support not just during COVID-19, but all the time.

Economic and Fiscal Update Implementation Act, 2021Government Orders

February 3rd, 2022 / 1:45 p.m.

NDP

Lori Idlout NDP Nunavut, NU

Qujannamiik, Uqaqtittiji. I want to thank the member for talking about the arts. I also want to let her know that Nunavut is the only jurisdiction that has no performing arts centre at all in any of its communities. I hope she will take that into consideration for any future work with respect to supporting the arts in Nunavut.

As well, as she was talking about the fall economic statement, I want to highlight and remind her of what Bill C-8 fails to do. Bill C-8 fails to help families. The Government of Nunavut announced last week that the price of gas and diesel will increase eight cents a litre each, which will become effective this month. These increases will ultimately increase the cost of living. Essentially, this bill does nothing to help families facing rising food prices. Instead of helping working families with these rising food prices, why are the Liberals protecting wealthy grocery chains?

Economic and Fiscal Update Implementation Act, 2021Government Orders

February 3rd, 2022 / 1:50 p.m.

Liberal

Julie Dabrusin Liberal Toronto—Danforth, ON

Madam Speaker, the member opposite raises some very important questions about affordability. I want to remind all members in the House that, for this tax season, the personal amount for which people are exempt from paying taxes is going up by $600. That means that people making under $150,000 will be paying tax on $600 less of their income. It is actually a savings, so I—

Economic and Fiscal Update Implementation Act, 2021Government Orders

February 3rd, 2022 / 1:50 p.m.

The Assistant Deputy Speaker (Mrs. Alexandra Mendès) Alexandra Mendes

Resuming debate, we will go to the hon. member for Hastings—Lennox and Addington.

Economic and Fiscal Update Implementation Act, 2021Government Orders

February 3rd, 2022 / 1:50 p.m.

Conservative

Shelby Kramp-Neuman Conservative Hastings—Lennox and Addington, ON

Madam Speaker, I will be splitting my time today with the hon. member for Bay of Quinte.

It is my pleasure to rise in the House today to address Bill C-8. This bill would enact tax and spending measures outlined in the economic and fiscal update. The bill itself has seven parts. Allow me today the privilege of suggesting some highlights as to why the official opposition opposes the bill.

Canadians are listening. Canadians are seeking more from the government, and they deserve more. Bill C-8 would add an additional $70 billion of new inflammatory fuel on the fire.

Friends, our national debt has now reached a ridiculous $1.2 trillion. Since the beginning of this pandemic, the Liberal government has brought in $176 billion in new spending that is unrelated to COVID-19. The Liberal government ensured Canadians it would find a balance on transparency. I am not seeing it.

Across our country, there are numerous concerns at hand. I see and hear them from my riding every single day. We all recognize the importance of stimulus spending. There is a time and a place. However, the cost of living is out of control. More dollars chasing fewer goods means higher prices.

In terms of groceries, inflation is hurting every Canadian and every family at the grocery store. Chicken is up 6.2%, for example. Bacon is up 19.1%. Working Canadians are sighing every time they pull into the gas station. Automobile gas is up 33%.

The state of our economy is weak. The deficit and national debt are disturbing and Canadians have caught on. People in Hastings—Lennox and Addington, and across this country, are being stretched. To quote the Parliamentary Budget Officer, “the rationale for the additional spending initially set aside as 'stimulus' no longer exists.”

Many Canadians are exhausted, financially, emotionally and mentally. We need to reactivate this economy. We need to have lower taxes, more freedom, smaller government and regain some optimism and hope in ourselves and in our government.

Conservatives are opposed to Bill C-8. As we come out of the COVID-19 pandemic, many Canadians are worried about our economic recovery and security. Unfortunately, debt loads on individuals and all levels of governments have imploded. This is putting businesses, jobs and home ownership at risk.

As communities face unprecedented challenges, the current government sadly is continuing to reward its insiders. Promises made to our veterans, seniors and small businesses have been broken.

Earlier in the House today, we were reminded by a fellow Liberal member that the Liberal government claims it wants to build back better after the pandemic. The Liberals want to do this by spending huge amounts of taxpayers' money. However, in my view, they have no realistic plan for this recovery. The Liberal government has a long and proven record of failing to get the job done for Canadians, and Bill C-8 is no exception. Canadians deserve much better from their government.

Our lives have changed over the last few years, but this has not changed our character. Canadians have overcome adversity in the past, and they will overcome it again. The key to moving past the pandemic in Hastings—Lennox and Addington is to give our communities the tools and resources they need to become more self-reliant and resilient.

Governments, regardless of jurisdiction, need to provide the necessary investments in local infrastructure and relief from taxes that stifle productivity. They also need to cut the red tape that inhibits growth. This includes investing in mental health programs, cleaner energy, supporting the farmers that feed us and our local businesses, which provide for us by creating an environment for new opportunities and investment.

I recognize the challenges are steep. The future of Hastings—Lennox and Addington and this country depends on bringing together people, ideas and working on things that unite us as a community, as a riding and as a country, rather than focusing on those things that divide us.

As we come out of this pandemic, the top issue facing this entire country is getting the economy back up and running. A key part of economic recovery is getting people back to work. Let me say first that the best indicator of future performance is past performance, and it should be remembered that during the 2008-09 recession, the last time this country faced a crisis, it was a Conservative government and Conservative economic policy that was able to strengthen Canada's fiscal position without jeopardizing the goal of income redistribution.

In fact, the same Conservative government's strict fiscal disciplines achieved a balanced budget in 2015, and it did not come from raising taxes or cutting transfers to people, provinces and territories. People should also remember that it was a Conservative government that brought in NAFTA, which has had an overwhelmingly positive effect on the Canadian economy. It has opened up new export opportunities for businesses, acted as a stimulus to build internationally competitive businesses and helped attract foreign investment to Canada.

Conservative governments have had a long and distinguished history of cleaning up Liberal messes, and we stand ready to do so again. We need to focus on getting the economy back on track, bringing back jobs, responsibly balancing the budget and providing accountability.

When COVID-19 hit, the Liberal government was not ready. Liberals were caught unprepared. They made poor decisions, put lives at risk and crippled our economy. It did not have to be this way. Canada has faced pandemics before. In recent memory we were confronted with SARS and H1N1. Each time we learned lessons and prepared for future pandemics. Tragically, the Liberal government undid much of that preparation, cutting funding to key programs. They shut down the Global Public Health Intelligence Network, our pandemic early warning system. They let the National Microbiology Laboratory decline and then depleted Canada's PPE stockpiles. They fought with the pharmaceutical industry and stacked the Public Health Agency with bureaucrats, not scientists.

When COVID-19 emerged, the Liberals were unprepared and slow to respond and made numerous decisions with tragic consequences. At first they denied there was a risk to Canada. They waited too long to close the border and ignored warnings of scientists within their own government and across Canada about the transmissibility and threat of COVID-19. They downplayed the importance of screening at borders, wearing masks, evidence-based contact tracing and domestic vaccine production. Front-line workers were left to fend for themselves, as public health guidance was confused or blocked.

Economic and Fiscal Update Implementation Act, 2021Government Orders

February 3rd, 2022 / 2 p.m.

The Assistant Deputy Speaker (Mrs. Alexandra Mendès) Alexandra Mendes

The hon. member will have two minutes after question period to finish her remarks and for questions from the other members.

The House resumed consideration of the motion that Bill C-8, An Act to implement certain provisions of the economic and fiscal update tabled in Parliament on December 14, 2021 and other measures, be read the second time and referred to a committee.

Economic and Fiscal Update Implementation Act, 2021Government Orders

February 3rd, 2022 / 3:15 p.m.

The Speaker Anthony Rota

Resuming debate, the hon. member for Hastings—Lennox and Addington has two minutes remaining.

Economic and Fiscal Update Implementation Act, 2021Government Orders

February 3rd, 2022 / 3:15 p.m.

Conservative

Shelby Kramp-Neuman Conservative Hastings—Lennox and Addington, ON

Mr. Speaker, I will begin my comments by acknowledging a short conversation I had with one of my colleagues in the lobby with regard to his grandson, who has just gone through a successful heart surgery. Perhaps we can give a small moment of prayer for the member for Montmagny—L'Islet—Kamouraska—Rivière-du-Loup and his grandson Oskar. He is doing well, but it is appropriate to acknowledge we have strength on both sides of the House to wish him and his family well.

There have been several challenges. We need to be ready and our goal needs to be simple. We need to be prepared and we need to take rapid actions. We need to be able to protect the health of all Canadians while avoiding long-term impacts on our economy and of course on the mental health of all Canadians.

Productivity is down and debt levels are up. I believe we are in a hot mess. The Canadian way of life is being threatened, and many people are fragile. We need to reactivate this economy. We need to have lower taxes, more freedom and smaller government and we need to regain some optimism and hope in ourselves and in our government.

I am speaking today on Bill C-8, and Conservatives strongly oppose it. Day in and day out, I hear the phone calls to my riding offices in Ivanhoe and Napanee and my office in Ottawa from Canadians of all walks of life who are exhausted and tired. We have no room for this additional spending.

Economic and Fiscal Update Implementation Act, 2021Government Orders

February 3rd, 2022 / 3:15 p.m.

Liberal

Kody Blois Liberal Kings—Hants, NS

Mr. Speaker, I apologize that I was not able to make it for all of the member's speech, because of question period.

She mentioned at the end that Canadians are exhausted and tired. I would agree. So too are the people of Ottawa, with the protests we are seeing outside right now. Although the member was not in the House in 2020, the Conservative Party was quick to call on the government for police intervention on some of the blockades that we have seen across the country. I have not yet heard that same language from the Conservative Party, nor from this member.

Would this member agree with me that it is time for the protesters to go home and for the police to use their discretion to take down the blockade of downtown Ottawa?

Economic and Fiscal Update Implementation Act, 2021Government Orders

February 3rd, 2022 / 3:15 p.m.

Conservative

Shelby Kramp-Neuman Conservative Hastings—Lennox and Addington, ON

Mr. Speaker, indeed it is a tricky situation here in Ottawa, but Canadians want to be heard. Canadians want to be heard, and by all means we oppose any of the rhetoric about the small numbers of the population that are being talked about and that the Liberals are repeating today.

Canadians want to have some freedoms. Canadians want to have their choices. Canadians want to go ahead and live their lives with dignity. Canadians want to use all the tools we have in our tool boxes. We need to have the rapid tests, we need to wear our masks and we need to have social distancing, if that is what we choose. I am not encouraging or acknowledging this, but we need to move forward.

Economic and Fiscal Update Implementation Act, 2021Government Orders

February 3rd, 2022 / 3:15 p.m.

Conservative

Luc Berthold Conservative Mégantic—L'Érable, QC

Mr. Speaker, I congratulate my colleague on her excellent speech.

I would like to hear her thoughts on inflation, which must certainly be affecting families, fathers and mothers, in her riding who are forced to make difficult decisions to feed their families. Should the government have intervened? How long should the government let inflation keep rising before it does something?

Economic and Fiscal Update Implementation Act, 2021Government Orders

February 3rd, 2022 / 3:15 p.m.

Conservative

Shelby Kramp-Neuman Conservative Hastings—Lennox and Addington, ON

Mr. Speaker, I thank my colleague for his question. I think I will answer in English today and in French tomorrow.

There is no doubt that inflation is hitting Canadians day in and day out. It does not matter whether they are at the gas station or going for groceries; it is in all walks of life.

The emails from seniors are really sad. I have seniors who are sending me emails saying they do not know whether they are able to pay for their medication. There are children who are talking to their parents at home, learning about how money is being spent, and there is not enough at the end of the day. Bills are all over the table and piling up, and families are needing to choose which ones they are going to pay. The interest rates that are being charged are just outlandish.

Economic and Fiscal Update Implementation Act, 2021Government Orders

February 3rd, 2022 / 3:20 p.m.

Liberal

Ken Hardie Liberal Fleetwood—Port Kells, BC

Mr. Speaker, the Conservatives oppose this bill. Do they oppose better ventilation for schools? Do they oppose more COVID tests? Do they approve improving the number of weeks of EI that workers are capable of getting? Do they approve of more relief for the businesses that took advantage of the Canada emergency business account?

These are all seemingly pretty important things, particularly as we hopefully near the end of worst part of the pandemic. Do the Conservatives really oppose those measures?

Economic and Fiscal Update Implementation Act, 2021Government Orders

February 3rd, 2022 / 3:20 p.m.

Conservative

Shelby Kramp-Neuman Conservative Hastings—Lennox and Addington, ON

Mr. Speaker, do the Liberals really approve of the inflation rates that Canadians are facing today?

With regard to some of the elements of the bill. I can acknowledge that as with anything, there is room for agreement and respectful disagreement across the aisle. There are parts of the bill that I would suggest are good, and I have no difficulty saying that. I think there needs to be room where we can have dialogue and agreement across the floor, but I will leave it at that.