Investments

Total 120 Posts

Graduated Rate Estates: Does the 36 month rule mean a maximum of 3 taxation years?

•

As my fellow bloggers have written, there are now 3 types of testamentary trusts under our tax law: a Graduated Rate Estate (“GRE”), a Qualified Disability Trust (“QDT”) and all other testamentary trusts (“OTT”). Previously, all testamentary trusts were generally taxed in the same way individuals were – at graduated tax rates. Effective January 1, 2016, OTT’s will be taxed at the highest marginal tax rate. However, GRE’s which generally….

Graduated Rate Estates: Does the 36 month rule mean a maximum of 3 taxation years? Continue Reading »

Canada Revenue Agency, Estate Administration, Estate Administration and Probate Applications, Estate Planning, Executors, In the News, Investments, Property, Succession Planning, Tax Issues, Trusts, Wills

Infant Beneficiary of a Family Trust and the Capital Gains Exemption

•

Pursuant to the Income Tax Act, to be eligible for the capital gains exemption, the qualified small business corporation share definition includes a requirement that it be held by the taxpayer, or a party related to the taxpayer “throughout the 24 months” preceding sale. Under the circumstances, can an 18th month old beneficiary of a family trust receive a distribution of otherwise qualifying small business corporation shares, sell them the….

Infant Beneficiary of a Family Trust and the Capital Gains Exemption Continue Reading »

Canada Revenue Agency, Estate Planning, Investments, Succession Planning, Tax Issues, Trusts, Wills

RESIDENCY OF A TRUST – A QUESTION OF MANAGEMENT AND CONTROL

•

As my fellow bloggers have explained in some detail, there are various tenets governing trusts having legal and tax implications depending on the circumstances. One of these is the location of “central management and control” which the Courts have previously ruled as being the basis for determining residency. Recently, the Supreme Court of Newfoundland and Labrador was asked to rule on the specific issue of residency which would have significant….

RESIDENCY OF A TRUST – A QUESTION OF MANAGEMENT AND CONTROL Continue Reading »

Canada Revenue Agency, Estate Administration, Estate Litigation, Estate Planning, Investments, Property, Trustee, Trusts

TIME FOR A REFREEZE – PART 2

•

In my last blog, I wrote about how you might consider refreezing your existing freeze shares if the enterprise has recently declined in value, so that your chosen successors can participate sooner in the future growth of your enterprise and in the meantime your tax liability can be reduced on the disposition of those shares by you or your estate. Today I would like to write about how you might accomplish a refreeze and provide you with a few words of caution.
….

TIME FOR A REFREEZE – PART 2 Continue Reading »

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