Published plans and annual reports 2025–2026: Ministry of Finance

Ministry overview

The ministry provides key fiscal, taxation and economic policy advice and support to the Minister of Finance, Cabinet and the Premier; reports on the province's economic and fiscal plans to the public; and prepares the provincial budget and a mid-year fiscal and economic update. The ministry also oversees several major operating agencies that generate revenues to support provincial programs and in certain cases, provide direct services to Ontarians.

Ministry’s vision

The Ministry of Finance (the ministry) supports a strong economic, fiscal and investment climate for Ontario, as well as a dynamic, innovative and growing economy. Activities are undertaken across five core lines of business:

• Fiscal, tax, economic and statistics policy;
• Revenue generation;
• Debt management;
• Intergovernmental fiscal relations;
• Financial services regulation.

The ministry ensures spending is directed to the highest priority needs while reducing the debt burden; supports a fair, efficient and competitive tax system; works with the federal government to represent Ontario’s interests with respect to fiscal arrangements; works collaboratively with its operational and regulatory agencies on modernization efforts; and uses a modern and risk-based approach to regulating the financial services sector.

The ministry also ensures tax legislation and regulations such as the Taxation Act, 2007 are amended and maintained as required through the legislative process.

The ministry continues to play an integral role in helping the Province unleash Ontario’s economic potential while keeping costs down and to protect Ontario workers, businesses and jobs in the face of U.S. tariffs and economic uncertainty.

Ministry business lines

Fiscal, Tax and Economic Policy

The ministry provides the government with fiscal, economic and tax analysis and advice, and leads development of various public reports including the Ontario Budget, Ontario Economic Outlook and Fiscal Review, Ontario’s Long-Term Report on the Economy, Taxation Transparency Report, Quarterly Finances and Ontario Economic Accounts.

Revenue Administration and Oversight

The ministry oversees nearly $220.0 billion in consolidated annual revenues for the government, including those from its operational agencies (e.g., Liquor Control Board of Ontario, Ontario Cannabis Retail Corporation), and provincially-administered tax statutes.

Debt Management

Through the Ontario Financing Authority, the ministry manages the Province’s debt and borrowing program, provides centralized banking and cash management functions on behalf of the government, and provides loans to public bodies.

Intergovernmental Fiscal Relations

The ministry advises on intergovernmental fiscal arrangements to advance the provincial government’s priorities with its federal and municipal counterparts. The ministry continues to provide support across ministries and central agencies to advance Ontario’s intergovernmental strategy and priorities for federal-provincial transfers.

Financial Services Regulation

The ministry ensures efficient, effective regulation of the financial services sector, including insurance, pension plans, credit unions, mortgage brokerages, title protection and capital markets, and oversees related regulatory agencies (e.g., Ontario Securities Commission, Financial Services Regulatory Authority of Ontario).

2025‒26 strategic plan

Ministry priorities

The Ministry of Finance will continue to work with its partners to support government priorities while encouraging sustainable, long-term economic growth.

Managing Ontario’s Finances and Respecting Taxpayers

• Ensuring the government’s fiscal policy is aligned with the governing principles of the Fiscal Sustainability, Transparency and Accountability Act, 2019.
• Supporting transparency and accountability through the development and timely release of key publications including the Ontario Budget, Ontario Economic Outlook and Fiscal Review, Ontario’s Long-Term Report on the Economy, Taxation Transparency Report, Quarterly Finances, and Ontario Economic Accounts.  
• Strengthening investor confidence in Ontario’s capital markets and enhancing enforcement efforts by strengthening protections for whistleblowers who choose to report misconduct in Ontario’s capital markets and introducing a statutory process for the distribution of disgorged funds to harmed investors.
• Working with the Ontario Securities Commission to continue efforts to enhance competitiveness for Ontario businesses, including initiatives aimed at fostering capital formation.

Key performance indicators

Strengthening Financial Services

Note: This indicator tracks growth in Ontario’s financial services insurance sectors which support overall economic growth.

Support Fiscal Sustainability

Note: This indicator represents the ability of Ontario to repay its debts while providing trends that support stakeholders in assessing the Province's debt management efforts over time.

Decreasing Tax Burden

Note: This indicator of the effective allocation of resources to taxpayers of highest risk of non-compliance which supports the ministry’s objective to reduce the burden on compliant taxpayers.

A Plan to Protect Ontario

• Implementing a temporary enhancement to the Ontario Made Manufacturing Investment Tax Credit to help lower costs for businesses that invest in buildings, machinery and equipment that are used for manufacturing and processing in Ontario.
• Providing relief on gas and fuel costs by maintaining temporary cuts to the gasoline tax and the fuel tax until June 30, 2025, and proposing to keep the rates at 9 cents per litre, permanently.
• Providing a $200 taxpayer rebate in 2025 to offer immediate relief for eligible Ontario individuals and families.
• Implementing a new temporary Ontario Shortline Railway Investment Tax Credit to support Ontario’s shortline railways and ensure a safe and reliable rail network across the province.
• Helping workers to save for their retirement by implementing a permanent target benefit pension framework in Ontario effective January 1, 2025. The framework will support the sustainability of these workplace pension plans and pave the way for more employers to offer them.
• Advancing auto insurance reforms to provide Ontario drivers with more affordable choices, enhanced access to benefits, and a modernized regulatory framework.
• Leading initiatives that create efficiency and improve the delivery of income-based benefit programs by advancing the use of client-centered digital services and the ministry’s automated income verification system.
• Ensuring Ontarians can conveniently and reliably find benefit programs, services and tax credits they may be eligible for through the ministry’s online Benefits Finder service. These benefit programs can help with costs such as post-secondary education, skills training, dental care, housing, health services, child care and prescription drugs.
• Leading policy analysis, modernization, and growth of the ministry’s Tax Compliance Verification service.
• Helping up to 100,000 more low-income seniors by expanding the Guaranteed Annual Income System program and indexing the benefit to inflation annually, starting in July 2024.
• Working with the Ontario Securities Commission to continue efforts to enhance competitiveness for Ontario businesses, including initiatives aimed at fostering capital formation.
• Continuing to strengthen Ontario’s short selling framework by working with the Ontario Securities Commission and the Canadian Investment Regulatory Organization.
• Providing financing to help build critical infrastructure projects across the province by increasing the capital allocation from $3.0 billion to up to $8.0 billion in Ontario’s new agency, the Building Ontario Fund.
• Modernizing and enhancing tobacco tax oversight by strengthening fines in the Tobacco Tax Act while also implementing tools for the ministry to be a modern regulator.
• Optimizing service delivery to people and businesses by providing easily accessible information and an improved client experience with more digital service options. This includes implementing electronic payment and document filing for tax and non-tax programs, modernizing business processes, and applying a digital mindset when serving clients.
• Conducting a review of the property assessment and taxation system focusing on fairness, affordability, business competitiveness and modernized administration tools.
• Eliminating the 4.3 cents per litre tax on propane used for licensed road vehicles in order to lower costs and reduce compliance burden on businesses.
• Continuing to tackle foreign speculation on the province’s housing market by strengthening Ontario’s Non-Resident Speculation Tax to support compliance and improve fairness and is taking steps to increase information sharing between provincial, federal and municipal governments.

Key Performance Indicators

Reducing Underground Economic Activity

Note: This measure supports enhanced audits in targeted areas to help ensure the integrity of provincial revenues, while minimizing the burden on compliant taxpayers.

Recreational Cannabis Market

Note: This indicator was established to estimate the size of the legal cannabis market in Ontario.

Improve Compliance and Tax Administration

Notes: Increasing access to online and digital services for clients will improve service delivery and client experience while improving internal operations. These KPIs support the ministry’s commitment on optimizing service delivery to the people of Ontario by providing accessible, simple, and fast client experience through choice of digital products, services, and communications. The ministry is modernizing processes for the future based on client feedback, leveraging technology and LEAN practices.

Increased Administrative Efficiencies

Note: This measure will allow for more effective and prudent government decision making and resource allocation as the financial close of the year approaches.

Maintain Service Standards and Commitments

Note: This measure reflects the ministry’s capacity to meet service standards, at high level, and is not sensitive to transformative change within the ministry.

Emergency Management

Note: An effective and efficient emergency management program ensures legislative obligations and supporting activities are completed to prevent, prepare for, and/or respond to emergencies.

Ensure Capacity to Offer Services in French

Notes: This KPI looks into the government’s support in delivering French-language services, leading to opportunities to build the Ontario Public Services’ bilingual capacity through improved recruitment, retention, training, and data collection on Francophone and bilingual employees.

Helping Workers and Businesses Weather the Storm

• The ministry is supporting Ontario businesses in response to U.S. - imposed tariffs by granting relief for business clients concerning deferred payment of taxes under the following Ontario business focused tax programs:

  • Employer Health Tax;
  • Beer, Wine and Spirits Tax;
  • Mining Tax;
  • International Fuel Tax Agreement;
  • Race Tracks Tax
  • Fuel Tax;
  • Gasoline Tax;
  • Tobacco Tax;
  • Corporations Tax - insurance premiums; and
  • Retail Sales Tax on Insurance Contracts and Benefit Plans.

  This relief will waive interest and penalties due from April 1, 2025 to October 1, 2025. These relief measures are part of Ontario’s response to U.S. tariffs, providing immediate support to businesses and protecting the economy. Clients are required to continue to file tax returns on time. The relief only applies to the payment of taxes.

• Contributing to the estimated $11.9 billion in cost savings and support that the government would enable for businesses in 2025 through key action taken since 2018. This includes several Ministry of Finance initiatives such as: the Ontario Made Manufacturing Investment Tax Credit, lowering high Business Education Tax rates; providing $450 million in annual savings for over 200,000 employers, or 95 per cent of all business properties in Ontario; and, increasing the Employer Health Tax exemption from $490,000 to $1.0 million, which helps businesses by reducing the tax for eligible private-sector employers.
• Supporting affordability and providing businesses with greater cost certainty by stopping the estimated 4.6 per cent increase to the beer basic tax and Liquor Control Board of Ontario (LCBO) mark‐up rates, stopping the 4.4 per cent increase to a fee applied to beer sold through the LCBO, and eliminating the 6.1 per cent basic tax on Ontario wine and wine coolers purchased from on‐site winery retail stores.
• Increased choice and convenience for Ontario consumers through the largest expansion of Ontario’s beverage alcohol marketplace since the end of prohibition almost 100 years ago, with over 6,000 convenience and grocery stores that can sell beverage alcohol. Removing the minimum retail price for spirits to foster the conditions for a more dynamic and competitive market environment.
• Supporting business, particularly small business, during a time of economic uncertainty with immediate cost savings and financial relief, by increasing the in the LCBO wholesale discount from 10 to 15 per cent, saving approximately $56.0 million for 23,000 Ontario businesses.
• Fostering a more dynamic and competitive alcohol marketplace while creating conditions to support affordability for consumers by:
  • Supporting the competitiveness of smaller brewers with a reduction of the microbrewer basic tax and LCBO mark-up rates.
  • Supporting Ontario distillers and local economic development with a cut to the spirits basic tax rate at on-site distillery retail stores.
  • Supporting craft cideries and apple growers by modernizing the mark-up treatment of cider with a cut to the LCBO basic mark-up rate.
• Streamlining and reducing the LCBO mark-up rates for spirit and wine-based ready-to-drink beverages.
• Introducing the Ontario Grape Support Program to incentivize producers to increase the number of Ontario grapes in bottles of wine, providing up to $35.0 million in annual support to eligible wineries over five years, beginning in 2025–26, amounting to $175.0 million total.
• Introducing the Wine Boutique Support Program and providing $16.7 million over five years, beginning in 2025–26, to support a portion of capital expenses for offsite winery retail stores that want to re-locate into grocery stores.
• Extending the Vintners Quality Alliance (VQA) Wine Support Program until 2029–30 and enhancing program eligibility to include ice wines, as well as VQA wine sold in convenience stores and on-site winery retail stores, expanding the total support to VQA wine producers to $84.0 million in annual support, with total program funding amounting to $420.0 million over the next five years.
• Continuing to assess and, where appropriate, implement key Capital Markets Modernization Taskforce recommendations intended to modernize the capital markets regulatory framework that serve to benefit businesses, investors, and other stakeholders and allow Ontario’s capital markets to remain globally competitive.

Ministry of Finance organizational structure

• The Minister of Finance
  • Parliamentary Assistant
  • Parliamentary Assistant
  • Chief of Staff
  • Chair, Ontario Securities Commission
  • Chair, Financial Services Tribunal
  • Chair, Liquor Control Board of Ontario
  • Chair, Financial Services Regulatory Authority of Ontario
  • Chair, Ontario Cannabis Retail Corporation
  • Chair, Building Ontario Fund
  • Chair, Ontario Financing Authority
    • Chief Executive Officer, Ontario Financing Authority
      • Assistant Deputy Minister, Corporate and Electricity Finance Division
  • Chair, Ontario Electricity Financial Corporation
    • Chief Executive Officer and Vice Chair, Ontario Electricity Financial Corporation
  • Deputy Minister of Finance
    • Special Policy Advisor and Executive Assistant
    • Chief Information Officer, Central Agencies Information and Information Technology Cluster (reports to the Treasury Board Secretariat and is matrixed to the Ministry of Finance)
    • Director, Legal Services Branch (reports to the Ministry of the Attorney General and is matrixed to the Ministry of Finance)
    • Director, Communications Services Branch
    • Chief Administrative Officer and Assistant Deputy Minister, People, Planning and Performance Division
    • Assistant Deputy Minister and Chief Economist, Office of Economic Policy
    • Assistant Deputy Minister, Office of the Budget
    • Assistant Deputy Minister, Alcohol Policy and Marketplace Implementation Division
    • Assistant Deputy Minister, Income Security and Pension Policy Division
    • Assistant Deputy Minister, Financial Services Policy Division
    • Associate Deputy Minister, Office of Tax, Benefits and Local Finance
      • Assistant Deputy Minister, Strategy, Stewardship and Program Policy Division
      • Assistant Deputy Minister, Tax Compliance and Benefits Division
      • Assistant Deputy Minister, Provincial-Local Finance Division
      • Assistant Deputy Minister, Taxation Policy Division

Agencies, boards and commissions (ABCs)

Financial Services Regulatory Authority of Ontario regulates the financial services sectors to strengthen consumer and pension plan beneficiaries’ protection, improve regulatory efficiency and reduce burden for businesses. Its legislative mandate includes supervising regulated sectors, contributing to public confidence, monitoring and evaluating trends, promoting public education and knowledge, ensuring transparency and disclosure of information, and deterring deceptive or fraudulent practices.

Financial Services Tribunal is an independent adjudicative body that hears appeals from decisions and holds hearings to review proposed decisions of the Chief Executive Officer of the Financial Services Regulatory Authority.

Investment Management Corporation of Ontario was established by statute as a non-share capital corporation that operates at arm’s length from government. It provides investment management services and investment advisory services to its members in accordance with the Investment Management Corporation of Ontario Act, 2015 and its regulations.

Liquor Control Board of Ontario is responsible for the importation, distribution and sale of alcohol in Ontario in an efficient and socially responsible manner. Its retail network includes 688 retail stores, and more than 388 Liquor Control Board of Ontario Convenience Outlets as well as online sales through LCBO.com. The Liquor Control Board of Ontario is the exclusive wholesaler for more than 6,000 grocery stores and convenience stores and services, licensed bars and restaurants.

Ontario Cannabis Retail Corporation is the exclusive wholesaler and distributor of legal recreational cannabis to authorized (private) cannabis retail stores in Ontario and provides for socially responsible sales of cannabis and related products through its ecommerce platform, OCS.ca.

Ontario Electricity Financial Corporation is the legal continuation of the former Ontario Hydro, responsible for managing its debt and other liabilities.

Ontario Financing Authority performs borrowing, debt management, investment, and risk management activities for the Province. It also offers centralized services to the Ontario Public Sector and financial advice to other parts of the province, including the Ontario Electricity Financial Corporation and Infrastructure Ontario, and provides loans to public bodies. 

Building Ontario Fund is an arms-length, board-governed agency established to enable public-sector pension plans, other trusted Canadian institutional investors, and Indigenous communities to further participate in large-scale critical infrastructure projects across the province of Ontario. The Building Ontario Fund is also responsible for administering the $3.0 billion Indigenous Opportunities Financing Program on behalf of the province.

Ontario Securities Commission regulates the province’s capital markets, including equities, fixed-income and derivatives markets. The Ontario Securities Commission provides protection to investors, fosters capital formation, and ensures efficient and competitive capital markets in Ontario.

Detailed financial information

Table 1: 
Ministry planned expenditures 2025–26

Table 2: 
Combined operating and capital summary by vote

Contact us

If you have questions about the programs and/or services of the Ministry of Finance, visit www.ontario.ca/finance or contact the Ministry of Finance by:

Telephone

1-866-668-8297 or TTY: 1-800-263-7776 (for teletypewriter)

Email

financecommunications.fin@ontario.ca

Mail

Ministry of Finance
95 Grosvenor Street
Toronto, Ontario
M7A 1Y8

Appendix: 2024‒25 annual report

2024–25 results

Managing Ontario’s Finances and Respecting Taxpayers

• Released the 2024 Budget, 2024‒25 First Quarter Finances, 2024 Ontario Economic Outlook and Fiscal Review, Ontario’s Long-Term Report on the Economy 2024-46, and the Taxation Transparency Report 2024.
• Presented alternative economic and fiscal scenarios in both the 2024 Budget and the 2024 Ontario Economic Outlook and Fiscal Review to be as transparent as possible about the uncertainty that remains in the global economy and the risks posed to the Province’s finances.
• Facilitated engagement with credit rating agencies. In 2024-25, S&P and Morningstar DBRS both upgraded their credit ratings on the Province. Moody’s confirmed Ontario’s credit rating and maintained its Positive Outlook, while Fitch confirmed Ontario’s rating with a Stable Outlook.
• Advanced Ontario’s priorities in the federation, as Chair of the Provincial-Territorial Finance Ministers’ Meetings, in alignment with Ontario’s position as Chair of the Council of the Federation. Key responsibilities include leading the engagement with the federal Minister of Finance on key provincial and territorial issues, and developing consensus positions and approaches with other provinces and territories on fiscal arrangements (e.g., Canada Health Transfer, Infrastructure, Canada Wide Early Learning and Child Care, and Labour Market Transfer Agreements).  
• Issued three Canadian dollar Green Bonds in 2024‒25 for $3.5 billion under the Province’s Sustainable Bond Framework. The most recent Green Bond was issued on January 30, 2025, for $1.25 billion. Ontario is the largest issuer of Canadian dollar Green Bonds and is the first province to issue a 30-year Green Bond and three Green Bonds in a fiscal year. The Sustainable Bond Framework allows for a broader range of potential bond offerings in the future.
• Completed the Province’s 2024–25 borrowing program, borrowing $49.5 billion as of March 31, 2025. Maintained cash reserves to fund the government’s programs as well as upcoming large maturities.
• Issued $12.7 billion in debt with maturities of 30 years or longer in fiscal year 2024–25, to provide greater certainty with respect to interest payments over the longer term.
• Seized more than 222.0 million grams of contraband tobacco products with an approximate tax value of around $41.1 million between April 1, 2024 and March 31, 2025.

Key Performance Indicators

Strengthening Ontario’s Financial Services Sector

Notes: This indicator tracks growth in Ontario’s financial services and insurance sectors which support overall economic growth.

Support Fiscal Sustainability

Notes: This indicator represents the ability of Ontario to repay its debts while providing trends that support stakeholders in assessing the Province's debt management efforts over time.

Decreasing Tax Burden

Notes: This indicator reflects the effective allocation of resources to taxpayers of highest risk of non-compliance and supports the ministry’s objective to reduce the burden on compliant taxpayers. One-time project demands influenced results for 2023-24. Preliminary results achieved in 2024-25 = 14%.

Recreational Cannabis Market

Note: This indicator was established to estimate the size of the legal cannabis market in Ontario.

Working for Workers

• Continued working with ministries and other partners to ensure the Benefits Finder is a useful online service for Ontarians to find benefit programs and tax credits which can help with costs such as post-secondary education, skills training, housing, child care, health services, dental care, and prescription drugs. It now contains 47 programs, services and tax credits across 12 ministries.
• Enacted regulations necessary for implementing a permanent target benefit pension framework in Ontario effective January 1, 2025. The permanent framework will support the sustainability of these workplace pension plans supporting over one million members and pave the way for more employers to offer them to help workers save for their retirement.
• Collaborated with the Ministry of Municipal Affairs and Housing to deliver benefits under federal-provincial housing allowance programs that provide money directly to low-and moderate-income households to help with housing costs and to ensure timely issuance of payments to some of Ontario’s most vulnerable citizens.

Key Performance Indicators

Maintain Service Standards and Commitments

Notes: This measure reflects the ministry’s capacity to meet service standards, at high level, and is not sensitive to transformative change within the ministry. Results achieved in 2024-25 is 9 out of 10.

Emergency Management

Note:  An effective and efficient emergency management program ensures legislative obligations and supporting activities are completed to prevent, prepare for, and/or respond to emergencies.

Keeping Costs Down

• Froze the beer basic tax and LCBO mark-up rates until March 1, 2026.
• Eliminated the wine basic tax on sales of Ontario wine at on-site winery retail stores.
• Provided a temporary rebate to the brewers, including craft and small brewers, of the LCBO in-store cost of service fee for the sale of beer in grocery and convenience stores to support the transition to the new marketplace.
• Expanded the Guaranteed Annual Income System program and indexed the benefit to the rate of inflation, starting in July 2024.
• Cut the gasoline tax by 5.7 cents per litre and the fuel tax by 5.3 cents per litre from July 1, 2022, to June 30, 2025.
• Worked with the federal government on the temporary Harmonized Sales Tax holiday over the period of December 14, 2024, to February 15, 2025 to provide relief from the provincial portion of Harmonized Sales Tax on various items.
• Continued to tackle foreign speculation on Ontario’s housing market by strengthening the Non-Resident Speculation Tax to support compliance and improve fairness and took steps to increase information sharing between provincial, federal and municipal governments.
• Removed the full eight per cent provincial portion of the Harmonized Sales Tax on qualifying new purpose-built rental housing.
• Implemented legislation that requires the government to first obtain the consent of Ontario voters through a referendum before implementing a new provincial carbon pricing program.

Key Performance Indicators

Increased Administrative Efficiencies

Notes: This measure will allow for more effective and prudent government decision making and resource allocation as the financial close of the year approaches.

Building Ontario’s Economy

• Continued Ontario Financing Authority’s work with ministries to support their agencies and other public bodies by providing financing under its Loans to Public Bodies program to support capital projects, help manage liquidity requirements and support continued delivery of critical programs and services, such as financing new or expanded hospital long-term care facilities including a $42.0 million loan to Deep River and District Health for the construction of a 96-bed long-term care facility and a $1.3 billion line of credit for Ontario Power Generation.
• Simplified the Ontario Computer Animation and Special Effects Tax Credit by implementing new eligibility requirements that help companies get their tax credits faster, while also ensuring support remains targeted to professional productions.
• Extended existing temporary tax relief measures to support voluntary consolidation in the electricity distribution sector until December 31, 2028. In addition, Transfer Tax rate relief was enhanced by setting it to zero per cent for all municipal electricity utilities for transactions occurring from January 1, 2025 to December 31, 2028.
• Continued to offer the 10 per cent Regional Opportunities Investment Tax Credit to qualifying corporations that build, renovate or purchase eligible commercial and industrial buildings in certain regions of the province that have lagged in employment growth.
• Extended and enhanced time-limited tax relief measures to encourage consolidation of Ontario’s electricity distribution sector to improve services for customers through innovation and efficiency gains.
• Continued to provide loan administration services to the Ministry of Energy for its $1.3 billion provincial loan to support the historic Wataynikaneyap Power Transmission Project connecting 16 remote First Nation communities in the northwest to the Ontario electricity grid, which has completed construction.
• Increased the Ontario Municipal Partnership Fund by $100.0 million over 2 years, $50.0 million in 2025 and an additional $50.0 million in 2026. This brings the total funding envelope for the program to $600.0 million by 2026.
• Provided strategic oversight of the three-year sustainable funding deal for the City of Toronto focused on advancing key provincial priorities including Ontario Place, shelters, housing and transit. As part of the new deal, Toronto will receive up to $1.2 billion in provincial operating supports over three years and significant capital relief of up to $7.6 billion over 10 years.
• Delivered an agreement with the City of Ottawa that recognizes and invests in the city’s unique needs as Canada’s national capital and eastern Ontario’s economic hub, helping ensure the City’s sustainable, long-term growth, economic recovery and revitalization of the downtown core. As part of the agreement, the Province will provide up to $197.0 million over three years in operating support and up to $346.0 million over 10 years in capital support.
• Empowered municipalities to introduce municipal vacant home taxes as a tool to increase housing supply and address housing affordability by extending the authority for all single- and upper-tier municipalities to impose a tax on vacant homes. Municipalities are supported with a new provincial policy framework that sets out best practices for implementing a Vacant Home Tax and encourages municipalities to set a higher Vacant Home Tax rate for foreign-owned vacant homes.
• Continuing a review of the property assessment and taxation system, focused on fairness, affordability, business competitiveness, and modernized administration tools.
• Started a review of Ontario’s tax system in 2023, focused on ways to support greater productivity, promote fairness, enable greater simplicity and transparency, and to modernize administration. The government sought advice from a range of tax experts, economists, and business leaders, who shared their views on the tax system and opportunities to update it. Relying on the principles underpinning the tax review, the government has introduced tax measures to support business, families, and individuals, and improve administrative effectiveness and enforcement of the tax system, as well as to clarify legislative requirements and ensure that regulatory flexibility is maintained to preserve policy intent. As it concludes the tax review, the government will continue to review options for future tax measures that support the government’s path to balance, promote productivity and fairness, as well as simplify and modernize the tax system for taxpayers.
• Announced in December 2023, the government would conduct a targeted review of taxes, mark-ups and fees on beer, wine and other beverage alcohol. The engagement phase of the review is now complete. The government is undertaking an analysis on all the input received to identify key priority areas for action with the aim of promoting a more competitive marketplace.
• Established the Building Ontario Fund to support investment in critical infrastructure projects across the province in key priority areas, and announced two initial long-term care projects that the Building Ontario Fund is investing in.
• Relaunched the Aboriginal Loan Guarantee Program as the Indigenous Opportunities Financing Program and tripled the allocation for loan guarantees to $3.0 billion, to support Indigenous participation in more sectors.
• Developed potential economic policy responses to support the Ontario economy in anticipation of U.S. tariffs. Developed a multi-ministry framework to consider the impacts of potential tariffs, and a contingent suite of potential measures would help mitigate the negative impacts of potential U.S. tariffs and transform Ontario’s economy for future growth, including tax deferrals and targeted supports to impacted businesses.

Key Performance Indicators

Improve Compliance and Tax Administration

Notes: Results achieved in 2024-25 as of March 31, 2025: Increased percentage of tax client registrants’ usage of digital tax channel is 54.6 per cent and increased percentage of tax returns filed electronically is 57.1 per cent. 

Increasing access to online and digital services for clients will improve service delivery and client experience while improving internal operations. These KPIs support the ministry’s commitment on optimizing service delivery to the people of Ontario by providing accessible, simple, and fast client experience through choice of digital products, services, and communications.

Reducing Underground Economic Activity

Notes: This measure supports enhanced audits in targeted areas to help ensure the integrity of provincial revenues, while minimizing the burden on compliant taxpayers. Results for 2024-25 will be available by June 30, 2025.

As of Q3 2024-25, the rate is approximately 76 per cent.

Supporting Modernization

• Modernized Ontario’s insurance sector by creating a regulatory framework for life and health managing general agents, which supports consumer protection and confidence in the sector.
• Worked with the Ontario Securities Commission to continue fostering competitive, efficient, and fair capital markets in Ontario and Canada, and supporting greater access to capital.
• Supported, in collaboration with the Ministry of Indigenous Affairs and First Nations Economic Reconciliation, the Ontario Securities Commission’s engagement with Indigenous partners on increasing access to capital markets for Indigenous communities and businesses.
• Worked with the Canadian Public Accountability Board, Canada’ s auditor oversight body, to improve the accountability of audit firms of public companies, the quality of audits, and the integrity of financial reporting in capital markets.
• Worked with the Ministry of Economic Development, Job Creation and Trade to address concerns raised by Ontario’s trading partners with the sale of beverage alcohol in Ontario. The ministry worked to implement the mutually agreed solution to resolve Australia’s complaint at the World Trade Organization and updated Global Affairs Canada and Australia on progress, as required.
• Announced that the Master Framework Agreement signed with Brewers Retail Inc. (The Beer Store) would not be renewed after it expires on December 31, 2025 as part of the transition towards the government’s commitment to expand the province’s beverage alcohol marketplace to increase choice and convenience for consumers and opportunities for business.
• Providing customers across Ontario more choice and convenience, supported businesses and helped to promote small and Ontario-made beverage alcohol producers by expanding alcohol sales, up to 8,500 eligible convenience, grocery and big-box grocery stores in Ontario could be licensed to sell beer, cider, wine and ready-to-drink alcoholic beverages.
• Work with the Ministry of Agriculture, Food and Agribusiness to administer industry support programs to Ontario wineries, cideries and distilleries. The grant payments provide continued stability to Ontario’s beverage alcohol sector.
• Implemented as of April 2024, a new payment and information processing technology as part of an initiative to modernize the enterprise payment and information capture services the ministry provides to the Ontario Public Service. The work is part of the Revenue Processing, Image Capture and Data Entry Transformation Initiative. By the end of 2025, a total of 129 programs from 18 ministries will be fully integrated.
• Migrated the tax administration of the Estate Administration Tax to the ministry’s tax and benefits administration system, ONT-TAXS, and launched a new online filing for Estate Information Returns, making it easier for clients to file online and realizing a 50 per cent upswing in online filing.

Key Performance Indicators

Ensure Capacity to Offer Services in French

Notes: During fiscal 2024-2025, the Strategic Business Unit (SBU) led a comprehensive review of vacant positions in the ministry. The review resulted in 15 positions being de-designated (either converted from active to inactive or converted into unilingual positions.) This vacant position reduction initiative will help the ministry show progress for both indicators.

Table 3: 
Ministry interim actual expenditures 2024‒25 ^{footnote 2[2]}