On April 7, 2022, Finance Minister (and Deputy Prime Minister) Chrystia Freeland tabled the Liberal Government’s federal budget, A Plan to Grow Our Economy and Make Life More Affordable (“Budget 2022”). Budget 2022 proposes to, among other things:

  • eliminate the flow-through share regime for oil, gas and coal activities by no longer allowing oil, gas and coal exploration or development expenditures to be renounced to a flow-through share investor; and
  • introduce a new refundable investment tax credit to encourage investment in carbon capture, utilization and storage project development.