Canada Revenue Agency

Total 280 Posts

Estate Applied to Have Filings Made by Taxpayer Lacking Mental Capacity Set Aside

• • 0 Comments

In Ntakos Estate v. The Queen, 2018 TCC 224, a family business was owned by the deceased taxpayer, Anna (after her husband passed away in 1995) with two brothers-in-law through a holding corporation. Anna’s mental and physical health declined from 1995 until her death in 2004. She was diagnosed in 2002 with cancer, and apparently lacked mental capacity after that date. In 2003, the accountant for the family business got….

Estate Applied to Have Filings Made by Taxpayer Lacking Mental Capacity Set Aside Continue Reading »

Canada Revenue Agency, Capacity Law, Estate Administration, Family Conflict, Investments, Property, Small Business, Spouse, Tax Issues, Testamentary Capacity, Uncategorized

Amendments to the CBCA: Implications for the Valuation of Interests in Trusts?

• • 0 Comments

Amendments to Canada Business Corporations Act (“CBCA”), will come into force mid-2019 which will require each private CBCA corporation to maintain a register listing the actual individuals (i.e., physical persons with name, address and date of birth and tax jurisdiction) with significant control in fact over the corporation including individuals who are beneficial shareholders with significant control: an individual who is a registered or beneficial owner of, or who has….

Amendments to the CBCA: Implications for the Valuation of Interests in Trusts? Continue Reading »

Canada Revenue Agency, Estate Planning, Interest, Investments, Property, Tax Issues, Trustee, Trusts

Spousal Rollover and Substituted Property

• • 0 Comments

Suppose the will of a deceased taxpayer provides that certain assets are to be transferred to a spousal or common law partner trust.  Before doing so, and while property of the estate is being administered, certain property might change or be substituted by the Estate.  For example, shares might be converted from one class to another.  If so, is the spousal rollover still available? When a taxpayer dies and certain….

Spousal Rollover and Substituted Property Continue Reading »

Canada Revenue Agency, Estate Planning, Executors, Tax Issues

Another Resolution for the New Year – Take Advantage of the Low Prescribed Rate

• • 0 Comments

We have talked about income splitting arrangements available to individuals who wish to loan funds to his/her lower income spouse or adult child, or in the case of minor children, a discretionary family trust. Such loans would be used to invest in income producing properties such marketable securities, mutual funds, real estate income trusts (to name a few). The income from these properties less the interest paid on the loans….

Another Resolution for the New Year – Take Advantage of the Low Prescribed Rate Continue Reading »

Canada Revenue Agency, Estate Planning, Interest, Loans, Property, Real Estate, Tax Issues, Trusts

Trust Filing Deadlines and Penalties

• • 0 Comments

With a new year is upon us it is important to keep in mind the various filing deadlines for trusts and estates (a trust). Generally, a trust has to file an annual income tax and information return (T3) if the trust earns income or makes annual distributions. The T3 along with any balance owing and the beneficiary trust information slips are due no later than 90 days after the year-end…..

Trust Filing Deadlines and Penalties Continue Reading »

Canada Revenue Agency, Executors, Tax Issues

Capital Gains Exemption Purification before a Share Sale: Be Careful about Timing

• • 0 Comments

Assume a family trust (“Trust”) which has a December year end owns 100% of an operating company (“opco”). A separate corporation (“holdco”), owned by the founders of opco, is a corporate beneficiary of the Trust. Opco is up for sale. Opco has excess funds which may affect the Trust’s and its beneficiaries’ ability to claim the capital gains exemption. A common technique to purify opco for capital gains exemption purposes….

Capital Gains Exemption Purification before a Share Sale: Be Careful about Timing Continue Reading »

Canada Revenue Agency, Estate Planning, Investments, Property, Small Business, Succession Planning, Tax Issues, Trusts
Scroll to Top