Ahead of November's federal budget, Prime Minister Mark Carney announced updates on benefit programs, including automatic tax filing and benefits for low-income Canadians.

On October 10, the prime minister announced automatic tax filing for low-income Canadians, a permanent national school food program, and an extended Canada Strong Pass.

Carney announced the three new measures at an Ottawa press conference, stating they will be in the federal budget on November 4.

Canada’s new government is starting Automatic Federal Benefits. We’re going to pre-file taxes for up to 5.5 million low-income Canadians, so they get the benefits they are entitled to — money that would otherwise be left unclaimed.

— Mark Carney (@MarkJCarney) October 10, 2025

Starting in the 2026 tax year, low-income Canadians will automatically receive federal benefits, including the GST/HST credit, Canada Disability Benefit, and Canada Child Benefit, as the Canada Revenue Agency will automatically file their taxes.

The prime minister noted millions of Canadians don't file taxes, “either because they don’t have the resources to do so, or because they think that their income is too low for it to matter.” This causes them to miss out on entitled benefits.

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The government also announced funding and legislation to feed 400,000 impoverished children, which will expand to include more children through collaboration with provinces and territories.

Meanwhile, the Canada Strong Pass, launched in summer 2025, offers free access to cultural and national sites and student discounts on VIA Rail. Renewed for holidays and summer 2026, it increased VIA Rail ridership by 13% and attraction visitors by 15%, proving a "big hit."

We're half way through the budget year and Canadians still have no idea how big Carney's deficit will be.

PBO says deficit will be nearly $70 billion, but even that doesn't include billions in spending from Liberal platform.

CUT SPENDING! pic.twitter.com/SpG8k0hzME

— Franco Terrazzano (@franco_nomics) September 30, 2025

The Liberal government plans to balance operational expenses within three years, aligning with their election promise to categorize all spending as either operational or capital. These three announcements are operational expenses.

Conservatives criticized the Liberal government for separating operational spending from capital funding in federal budgets, a move finance critic Jasraj Singh Hallan claims is to "bury the deficit." The government argues it clarifies spending and prioritizes major projects.

Carney announced the budget would address "this hinge moment" for Canada, requiring "responsible and pragmatic choices." It would reduce government operational spending while safeguarding programs for vulnerable Canadians.

Carney stated, “We’ll make decisions that support programs helping Canadian families reduce costs and build programs that help all Canadians succeed.”

BREAKING: Hold onto your wallet.

Budget watchdog releases damning report on Carney's ballooning deficit.

Deficit soaring 62% higher than the one Trudeau left behind. $314 billion in inflationary deficit spending over the next 5 years—double what Trudeau planned.

The numbers…

— Pierre Poilievre (@PierrePoilievre) September 25, 2025

Also on Friday, Carney asked each of his cabinet ministers and secretaries of state to identify three to five “key objectives” that will help the Liberal government achieve its core missions.

This follows a July 8 letter, where Carney gave the ministers and secretaries less than three weeks to map out these priorities for action over the next year, preferably using existing resources and authorities.

Key cabinet priorities include reducing costs, improving housing affordability, and cutting government spending, among other things.

Carney cooks the books: Watchdog says Ottawa’s ‘capital’ redefinition masks soaring debt

Carney government accused of ‘budget spin’ after PBO exposes accounting trick.

More by @SheilaGunnReid: https://t.co/8rI60yiBMY

— Rebel News Canada (@RebelNews_CA) October 8, 2025

The prime minister noted Ottawa's actions to reduce costs for Canadians, including cancelling the "divisive" consumer carbon tax to lower gas prices and cutting taxes for 22 million Canadians.

Carney's platform in the last federal election projected a $62.3 billion deficit for 2025/26, exceeding the 2024 Fall Economic Statement's projection by $20 billion.

The interim Parliamentary Budget Officer (PBO) projected a federal deficit of $68.5 billion this year, up from $51.7 billion last year. PBO Jason Jacques expressed concern to the government operations committee on September 25 regarding the looming deficit.