Museum report·Ottawa
$554M for museums and tax-free first $45,000: Canada's budget hands artists a lifeline
Canada's proposed federal budget, tabled on 5 November, would exempt up to C$45,000 of artists' creative income from tax and send C$783.1m to national museums and cultural institutions over five years, though the sector says the funding still falls short.
Canada's Liberal government has proposed the most generous package of cultural measures in years, with tax relief for working artists and hundreds of millions of dollars for museums — though arts groups say it does not go far enough.
The proposed budget, released on 5 November and tabled by finance minister François-Philippe Champagne, recommends a tax credit that would leave artists untaxed on up to C$45,000 of income from their creative work. Prime Minister Mark Carney announced it on X shortly after tabling, writing that Canadian artists would pay no tax on that first tranche of earnings. Much remains undecided: the government has yet to set the cost, the start date or the eligibility rules, and consultations with the cultural sector are promised in the spring 2027 economic update.
The budget also directs C$783.1m, about $554m, over five years to the National Arts Centre, Library and Archives Canada, the National Battlefields Commission and national museums. It promises free museum entry for under-25s, funded by C$46.3m over five years then C$11.5m a year, and adds C$20m over three years for the Canada Council for the Arts.
The response from the sector has been mixed. Jenna Faye Powell, interim national executive director of the artists' association Carfac, said the funding falls far short of what is needed, calling for permanent, stable support at a scale that can genuinely sustain artists and institutions. She added that many artists need relief now, especially those hit by tariffs, and that the association would press to join the consultation process.
The budget also restates support for an artist's resale right, which would give artists a royalty each time their work is resold. The 2025 budget announced an intention to amend the Copyright Act to create the right, but the legislation never appeared. More than 100 countries already have such laws, while neither Canada nor the United States has adopted one. Vancouver artist Ian Wallace welcomed the measures, including support for museums to buy work by emerging artists, though he noted most Canadian artists earn well under C$45,000 a year in any case.
