The Canadian federal budget for fiscal year 1996–97 was presented by Minister of Finance Paul Martin in the House of Commons of Canada on 6 March 1996.

[a] Incentives for investments in Labour-sponsored venture capital corporation (LSVCCs) are tightened:[3][4] The budget proposes to remove the 7-year limit on the carry-forward of unused RRSP room.

[6] Child support payments prescribed by court orders or agreements made after 30 April 1997 will no longer be deductible for the payer and included in the income of the recipient.

Alternative service delivery is also announced with three new service agencies to be set up:[16] The previous budget introduced the Canada Health and Social Transfer (CHST) which replaced both the Established Programs Financing and the Canada Assistance Plan fiscal transfers.

[19] Income tax measures announced in the budget were implemented through Bill C-92 which received royal assent on 25 April 1997.