For many, the recent 2018 budget provided welcomed relief to what could have been much worse for business owners and professionals. The severe backlash experienced after the July tax proposals gave the government good reason to fine tune their final proposals and scrap some other rules all together. Income Splitting As clarified in December, paying…
Shareholder Issues
The Taxman Cometh
If you’re a business owner, then you’ve been put on notice that the federal government is coming for you. The Finance Minister’s July 2017 proposal for tax reform takes direct aim at those who operate their business through an incorporated entity and proposes some widespread changes, the likes of which we have not seen in…
RRSP vs. Corporate Investing
When working with business owners who are looking to make investments outside of their business, I am often asked whether it is better to use RRSPs and Individual Pension Plans (IPP) to establish retirement savings or whether it makes more sense to leave those funds in one’s corporation for investment purposes. While the answer to this question is often driven by your…
The Importance of a Buy-Sell Agreement
You are a group of successful entrepreneurs who have worked hard to grow your business into a successful enterprise. This asset now represents a significant part of your wealth and you want to ensure that your investment value and the business itself are protected for the future. The Problem If your business loses an owner suddenly, the…
Splitting Owner & Beneficiary: Corporations
Budget 2016 proposes changes for the Capital Dividend Account (CDA). In addition to the changes outlined in the recent “Changes to the Capital Dividend Account” post, there is another important change that we would like to highlight as it will affect many clients. Background The Capital Dividend Account is a cornerstone of effective succession and…