Exploring Canada Bill C-3: Citizenship by Descent

Canada’s Bill C-3: A New Era for Citizenship by Descent 

While Canada is recognized globally for its efforts to attract foreign talent through its multi-year immigration levels plan, challenges remain within its citizenship laws, particularly for individuals seeking citizenship by descent or navigating complex eligibility requirements. These policy nuances highlight the contrast between Canada’s broader inclusive approach to immigration and the intricacies of its citizenship framework. 

One of the most significant barriers has been the first-generation limit implemented in 2009, which prevents Canadian citizens born outside of Canada from automatically passing their citizenship to their children if those children are also born abroad or to adopted children who were born abroad.  

Bill C-3, An Act to Amend the Citizenship Act (2025), received Royal Assent and was passed into law on December 15, 2025. This represents a significant step toward restoring fairness and clarity to citizenship by descent, while maintaining the value of Canadian citizenship. The legislation aims to correct outdated laws and ensure that Canadian families, regardless of where they live or were born, can maintain their connection to the country.  

What Changes Does Bill C-3 Bring? 

Bill C-3 introduces the following changes:  

• Automatic citizenship is now granted to individuals who would have been citizens today if not for previous legal limitations. 
• Establishes a new framework that allows citizenship by descent beyond the first generation, provided the Canadian parent demonstrates a substantial connection to Canada through a Substantial Connection test.  

Substantial Connection Test 

To pass citizenship to their child born abroad beyond the first generation, Bill C-3 establishes the use of a Substantial Connection test. Under this measure, a Canadian parent must have spent at least 1,095 cumulative days (three years) physically present in Canada before their child’s birth or adoption. This ensures that individuals who claim Canadian citizenship have a meaningful connection to the country.  

Insights from Envoy Global 

At first glance, the new requirements appear relatively attainable and should greatly benefit Canadians seeking to obtain citizenship for their children under previous restrictions. That said, families should await additional clarification from the government to ensure that there are no unexpected or surprise eligibility hurdles.  

Key questions still remain on how the Substantial Connection test is applied. For example, IRCC, has not yet clarified whether the 1,095-day physical presence must fall within a specific window prior to the child’s birth. Further, will there be any exclusions or exceptions to the rule. For example, could childhood residence in Canada count toward the requirement, even if the parent spent most of adulthood abroad? Would employment with a Canadian company while residing overseas be treated similarly to permanent resident exceptions for residency obligations? Could future regulations incorporate tax filing history as an indicator of “substantial connection”? 

As we await further guidance, Envoy Global will continue to monitor developments closely and help clients assess the impact of these proposed changes on long-term planning and citizenship strategy. 

— Commentary provided by Daphne Wong, Team Lead, Canada Immigration, Envoy Global 

Addressing the Issue of ‘Lost Canadians’  

The term “Lost Canadians” refers to individuals who lost or never acquired citizenship due to outdated provisions in former citizenship legislation. While previous amendments in 2009 and 2015 helped many regain their citizenship, gaps remained.  

Bill C-3 seeks to restore citizenship to remaining Lost Canadians, their descendants and anyone born abroad to a Canadian parent in the second or subsequent generations before the legislation comes into force. This includes individuals who lost their citizenship due to requirements under Form Section 8 of the Citizenship Act.  

Daphne Wong, Team Lead at Envoy Global, notes that Bill C-3 marks a significant win for Canadians who have faced challenges under existing citizenship rules—particularly those who consider Canada their home but were living or working abroad when their children were born.  

Legal Action Prompts Update to Outdated Citizenship Framework 

The first-generation limit has faced widespread criticism for failing to reflect the realities of modern Canadian families. Many Canadians build their lives abroad for work or personal reasons, yet their children are unable to inherit their citizenship. Depending on the country in which they were born or their ability to obtain another citizenship through a parent, this may bring forth the possibility that a child could be stateless. 

On Dec. 19, 2023, the Ontario Superior Court of Justice ruled that key provisions of this restriction were unconstitutional, recognizing the undue burden placed on Canadians with children born outside the country. The Canadian government did not appeal the decision and acknowledged that the current law had caused unacceptable consequences for these families, necessitating reform.

By addressing this issue through Bill C-3, Canada is working toward a fairer, more inclusive citizenship framework that reflects the realities of modern global mobility. 

Bill-3: What Happens Next 

Immigration, Refugees and Citizenship Canada (IRCC) confirmed that it will issue further guidance to affected individuals to ensure a smooth transition to the new framework. IRCC will post updates as it clarifies implementation details, including how it will apply the Substantial Connection test in practice.

Our team is actively monitoring the situation and sharing updates as new information emerges.

How Envoy Global Can Help Navigate Bill-3  

Envoy Global brings together smart, friendly legal teams with smart, friendly technology to make immigration easier for companies and the global talent they depend on. We are a trusted partner for businesses of all sizes, providing individualized support to help you make well-informed decisions with the perspective and insight you need to succeed. 

We bring decades of experience and deep local knowledge, ensuring businesses and individuals navigate the Canadian immigration process confidently and successfully. 

Learn more about our Canadian Immigration Services.