Archive for the ‘Business Succession Planning’ Category

Discretionary Family Trust and the “Kiddie” Tax

Monday, March 17th, 2014

In general, when income from a family trust asset (usually owned and or operated by parties related to the trust) is distributed to a beneficiary who is not an adult at the time of distribution, the income is taxed at the highest marginal rate of tax known as “tax on ...

Estate and Trusts with Foreign Properties and/or Transactions: Reporting Implications

Thursday, January 23rd, 2014

The Income Tax Act (“ITA”) requires persons and partnerships to file information returns in respect of foreign property ownership and transactions with non-residents. This extends to trusts and estates. Those who file such a return late or do not file one on demand are liable to a penalty or penalties. ...

BENEFICIAL OWNERSHIP AND DEEMED DISPOSITIONS: A CAUTIONARY TALE

Friday, December 13th, 2013

The Canada Revenue Agency (“CRA”) was recently asked to provide a ruling on the legal disposition of capital property in a specific fact situation. The ruling provided a cautionary reminder to trustees and executors when determining ownership of capital property for tax purposes. Briefly, a woman purchased a house that she ...