Canada has introduced Bill C-3, a significant amendment to its Citizenship Act that overhauls the long-standing "first-generation limit" rule on citizenship by descent, bringing great relief to thousands of Indian-origin families and other Canadians born abroad. This legislative change automatically grants Canadian citizenship to individuals who would have been citizens if not for the outdated restrictions, including those who lost citizenship under previous laws. Moreover, it introduces a new framework allowing Canadian parents born abroad to pass citizenship to their children born or adopted outside Canada, provided they demonstrate a "substantial connection" to Canada through at least three years of physical presence prior to the child's birth or adoption.

Before Bill C-3, Canadian citizenship by descent was limited to only the first generation born outside of Canada, meaning a Canadian parent born abroad could not automatically extend citizenship to their children also born outside the country. This "second-generation cut-off" disproportionately impacted many Indian-origin families living overseas. The Ontario Superior Court of Justice declared key parts of this citizenship restriction unconstitutional in December 2023, prompting the federal government to introduce Bill C-3 to rectify these inequities.

With this new law, individuals born before the bill's enforcement date, who were previously excluded due to the first-generation limit or other outdated provisions, will now be granted Canadian citizenship retroactively. Furthermore, from the bill's enforcement date onward, a Canadian parent born abroad who has spent at least 1,095 days in Canada in the five years before their child's birth or adoption will be eligible to pass citizenship to their child. This "substantial connection" requirement ensures citizenship remains meaningful while modernizing the law to reflect today's global mobility and family dynamics.

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Bill C-3 also restores citizenship to those who lost it because they failed to apply for retention by age 28 under former regulations, as well as providing additional safeguards like language proficiency, knowledge of Canadian history and rights, and security checks for adults applying under the new provisions. The government aims to implement this law promptly after royal assent and set an official enforcement date by order in council.

Canada’s Immigration Minister Lena Metlege Diab has emphasized that Bill C-3 represents a crucial step toward fairness and inclusivity for families with children born or adopted abroad. It resolves long-standing citizenship issues, streamlines the process, and protects the integrity of Canadian citizenship for future generations.​

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