Ahead of the 2025 federal budget, Prime Minister Mark Carney has unveiled a series of major initiatives aimed at supporting Canada’s most vulnerable populations. From the long-promised automatic tax filing system for low-income Canadians to the permanent rollout of a national school food program, Carney emphasized a pragmatic and people-first approach.
Speaking in his home riding of Nepean, Ontario, Carney also confirmed the return of the Canada Strong Pass — a travel and tourism discount initiative — set to run during the holiday season and again in summer 2026.
“We will take pragmatic decisions so we can protect programs and initiatives that support the most vulnerable in our society,” said Carney. “We will build programs that help you get ahead.”
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Automatic Tax Filing: Delivering Benefits to Millions
Ending the Paperwork Barrier
First introduced in the 2020 throne speech and formally committed to in the 2023 budget, the automatic tax filing system is finally moving forward. It’s designed to help low-income Canadians — particularly those who don’t typically file tax returns — access critical federal benefits they may be missing out on.
Many Canadians with little to no tax owing fail to file annually, leaving them ineligible for a range of income-based programs.
“Canadians who most need benefits often don’t get them,” Carney said, citing the gaps in support for low-income earners.
The new system is expected to roll out in phases:
- 2027: Pilot enrollment for 1 million Canadians with simple tax situations
- 2028: Expansion to 2.5 million
- 2029: Full implementation, reaching up to 5.5 million people
What Benefits Could Canadians Receive?
Automatic filing would help ensure more eligible Canadians access programs such as:
- GST/HST tax credit
- Canada Child Benefit
- Canada Workers Benefit
- Canadian Disability Benefit
- Disability Tax Credit
As an example, Carney noted that a single parent earning $15,000 per year from part-time work could qualify for up to $25,000 in federal and provincial benefits they might otherwise miss out on.
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National School Food Program Becomes Permanent
Fighting Hunger in the Classroom
The federal government has confirmed that the national school food program — first funded with a $1 billion commitment in spring 2024 — will become a permanent part of Canada’s social infrastructure.
Since its launch, the initiative has delivered meals to 400,000 children each year, saving families with two kids an average of $800 annually.
“No child should go to school hungry or sit in a classroom wondering where their next meal will come from,” said Carney. “All our children should be focused on learning.”
Long-Term Commitment to Funding
Starting in 2029-30, the government will provide $216.6 million annually to sustain the program across the country. The plan includes collaboration with provinces, territories, and Indigenous partners to broaden its reach and ensure more children benefit.
Canada Strong Pass Returns: Free Parks, Museums & Travel Discounts
Making Canada More Accessible for Families and Youth
The Canada Strong Pass, originally launched for summer 2025 to boost domestic tourism, will return for two new periods:
- December 12 to January 15 (holiday season)
- Summer 2026
This initiative provides:
- Free admission to all national parks, historic sites, and marine conservation areas
- 25% off camping fees
- Free entry to national museums for children under 17
- 50% discounts for visitors aged 18 to 24
- Free VIA Rail travel for kids accompanied by an adult
- 25% VIA Rail discount for young adults
The government reported a 13% increase in VIA Rail ridership and a 15% jump in visits to parks and museums during the 2025 summer run.
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Opposition Response: Conservative Criticism Over Delays
Conservative House Leader Andrew Scheer criticized the timeline for the automatic tax filing system, calling it a slow rollout of an already overdue initiative.
“Another four years to implement a five-year-old Liberal policy doesn’t look all that fast to me,” Scheer said, arguing that Canadians were hoping for action on inflation and immediate cost-of-living relief.
Despite criticism, Carney remains firm in positioning the new measures as foundational to a more inclusive economy.
What’s Next: Budget Details Coming Soon
The full federal budget will be tabled next month, and Carney has promised a focus on responsible but compassionate governance, centered on programs that protect the vulnerable while enabling opportunity.
With a mix of long-awaited social programs and youth-focused travel incentives, the 2025 federal budget is shaping up to mark a turning point in Canada’s approach to economic equity and social support.