Laurent Ferreira, chief executive officer of the National Bank of Canada, called on the federal government to undertake a comprehensive overhaul of the country’s tax system, describing the current framework as overly complex and in need of complete revision. Speaking Wednesday at an event hosted by the Canadian Club Toronto, Ferreira emphasized that the existing tax code places a heavy burden on companies, particularly small businesses that lack the resources to navigate its complexities.

As the head of Canada’s sixth-largest bank, Ferreira has long advocated for tax reform to enhance investment and competitiveness. He noted that Ottawa is now seeking to attract foreign capital, especially for critical infrastructure projects and to diversify economic ties beyond the United States. In this context, Ferreira urged the government to establish a dedicated team of tax experts tasked with drafting a new tax code aimed at creating one of the simplest, most efficient, and most competitive tax jurisdictions among developed countries.

In an interview following the event, Ferreira suggested that the government should give this team a one-year mandate to complete its work, stressing the importance of swift decision-making due to the fast pace of capital allocation. He also highlighted the growing demand for investment in defense and critical minerals sectors as key reasons for expediting reform efforts.

“Having a goal to simplify it and make it competitive would be something that our government and provinces should work on together,” Ferreira said, underscoring the need for coordinated efforts between federal and provincial authorities to foster a more capital-friendly environment.

Ferreira pointed out that Canada’s tax system has not experienced a major overhaul in decades. Over time, numerous policies, subsidies, and special provisions have been layered onto the framework, contributing to its complexity.

The call for tax reform comes amid broader discussions about how Canada can better position itself to attract investment and support economic growth. However, implementing such comprehensive changes will require balancing diverse stakeholder interests and careful coordination across government levels.