This is Queen Street Analytics' weekly digest of regulatory developments, legislative discussions and other government-related news for professionals in the financial industry, banking, credit unions, insurance, payment processing, fintech, credit card issuing, asset management, venture capital, private equity, and crypto-currencies. Once a week, we break down the most important updates in this space in under five minutes.

Want to track other GR news in adjacent industries? Don’t miss this week’s updates in ICT & Cybersecurity. Also consider subscribing to our Finance - Washington edition covering critical GR news south of the border.

Dates: 2026-02-22 to 2026-02-28

📋 In This Week's Newsletter

• 🏛️ Next Week's Parliamentary Calendar
• 🇨🇦 Federal Government News
• 🗺️ Provincial Government News
• 📚 What We're Reading This Week

This Week's Parliamentary Calendar

• Senate Committee on Banking, Commerce and the Economy to Continue SME Access to Capital Study: The Senate Standing Committee on Banking, Commerce and the Economy will reconvene on March 11 to receive written submissions and further testimony on SME access to credit, with participation from industry executives and stakeholder organizations.

Federal Government News

Department of Finance Publishes 2026 Report on Federal Tax Expenditures

The Department of Finance Canada released its annual Report on Federal Tax Expenditures on February 26, making public the fiscal cost estimations of federal tax measures for 2026. The report details new measures from Budget 2025, notably accelerated depreciation for manufacturing buildings and low-carbon LNG facilities. Earlier measures cited in the 2024 Fall Economic Statement, such as the enhancement of the Scientific Research and Experimental Development Investment Tax Credit and the continued Accelerated Investment Incentive, are also included. Support initiatives for households, including the First-Time Home Buyers' GST Rebate and Top-Up Tax Credit, are outlined. The publication expands on methodology and project costings, supporting transparency in the federal tax regime and enabling public policy assessment. Analytical appendices include a GBA Plus review of income distribution and an evaluation of the Canada Child Benefit.

Sources: www.canada.ca

Canada Revenue Agency Marks Start of 2026 Tax-Filing Season

The Minister of Finance and National Revenue, joined by the Secretary of State (Canada Revenue Agency and Financial Institutions), formally launched the 2026 tax-filing season this week. The Canada Revenue Agency issued guidance for filers regarding deadlines, relevant deductions, and credits applicable to the new tax year. This annual process activates key service updates for individuals and businesses ahead of the filing deadline.

Sources: www.canada.ca

Statistics Canada Reports Q4 2025 Corporate Financial Performance

Statistics Canada released quarterly financial statistics for enterprises covering the fourth quarter of 2025. Corporations in Canada generated an operating profit of $205.6 billion, an increase of $2.0 billion, or 1.0% over Q3. Year over year, operating profit was up by $14.1 billion (+7.4%). Gains were observed across both non-financial and financial industries. The report offers insight into capital flows and sectoral earnings, which provide context for credit and investment conditions within the economy.

Sources: www.statcan.gc.ca

Canada’s Current Account Deficit Narrows in Q4 2025

According to Statistics Canada, the country's seasonally adjusted current account deficit declined by $4.6 billion to $0.7 billion in the fourth quarter of 2025. This shift reflects trends in trade, investment income, and financial flows affecting external balances. The narrowing gap informs the broader environment for cross-border financial transactions and currency movements.

Sources: www.statcan.gc.ca

Brokerages Receive Penalties for Anti-Money Laundering Program Failures

Several real estate brokerages have been fined for failing to adequately monitor for potential money laundering activity. Regulator-imposed penalties came after examinations revealed weaknesses in transaction scrutiny and compliance programs. The penalties reinforce the regulatory focus on enforcing the Proceeds of Crime (Money Laundering) and Terrorist Financing Act requirements among reporting entities.

Sources: www.theglobeandmail.com

Provincial Government News

Nova Scotia Introduces Financial Measures Act; Includes New Levies and Investment-Related Reforms

Nova Scotia tabled the Financial Measures (2026) Act, raising the Financial Institutions Capital Tax to 6% from 4% and creating new electric and hybrid vehicle levies, among other amendments, to enact Budget 2026–27.

Sources: news.novascotia.ca

Manitoba Expands Small Business Venture Capital Tax Credit

The Manitoba government announced an increase in the Small Business Venture Capital Tax Credit to $30 million, expanded eligibility to limited partnerships, and recognized SAFEs as eligible investment instruments.

Sources: news.gov.mb.ca

British Columbia Advances Civil Forfeiture Amendment Act

The BC government introduced amendments to the Civil Forfeiture Act, enhancing tools to disrupt organized crime and money laundering and updating timelines, dispute processes, and information sharing.

Sources: news.gov.bc.ca

British Columbia Proposes $400-Million Strategic Investment Fund

Legislation was tabled in British Columbia to create a $400-million Strategic Investment Fund, aiming to broaden direct investment options including loans, equity, and profit-sharing for large-scale projects.

Sources: news.gov.bc.ca

Nova Scotia Tables Budget 2026-27: Defending Nova Scotia

Nova Scotia released its budget for 2026–27, introducing a four-year fiscal sustainability plan, investing in IT, health care, and housing, and maintaining tax savings and sector-specific funding allocations.

Sources: news.novascotia.ca

What We're Reading This Week

• Brokerages fined for failing to monitor potential money laundering: Real estate brokerages face regulatory enforcement for AML compliance lapses.
• Tax-filing season begins today. Here’s all you need to know: Guide to the 2026 Canadian tax filing season for individuals.
• Step by step, Ottawa is wading into capital markets. But should it?: Analysis of increasing federal involvement in Canadian capital markets.
• Opinion: Trump might order banks to verify clients’ citizenship. What’s so wrong about that?: Commentary on potential US moves affecting bank client due diligence.
• How many companies were delisted from the TSX? Take our business and investing news quiz: Quiz covering key topics in Canadian business and stock markets.
• Opinion: Moral judgment has no place in deciding who gets to bank or not: Editorial on the role of personal judgment in banking access decisions.
• Opinion: With Ontario’s student-loan reforms, universities must now fight for their very lives: Perspectives on impending challenges posed by provincial student-loan changes.

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