Loss Trading – Rules for Trusts

Friday, April 11th, 2014

Currently, loss streaming rules generally apply to limit a corporation’s trading of certain tax attributes (for example, non-capital losses, net capital losses, farm losses, and unused investment tax credits) where a person or group of persons acquires control of the corporation. Begin in 2013 (with transactions after March 20, ...

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

Wednesday, April 2nd, 2014

In a recent blog, I wrote about the annual reporting obligations to the Canada Revenue Agency (“CRA”) on trusts with foreign properties and/or transactions. I cautioned that it was important to stay out of the “penalty” box in this regard. Some rule changes have been introduced, some for the better ...

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 ...