Designation of a Taxable Capital Gain for a Trust Beneficiary

Friday, June 27th, 2014

The Canada Revenue Agency (CRA) was asked to consider a situation where a testamentary trust (the trust) disposed of qualified small business corporation shares (QSBCS) in 2013 during its taxation year ending on January 31, 2014. The trust allocated the taxable capital gain to its beneficiary. The CRA was asked to ...

You Can’t Have It All: Hybrid Trials, Limited Discovery, and Modest Estates

Thursday, May 8th, 2014

Lorraine Coombs died on April 27, 2012, leaving an estate worth approximately $756,249.00.  Her Last Will and Testament left her house and the residue of her estate to one of her four daughters, Susan Coombs (“Susan”).  Two of her other daughters, Diane Fergueson (“Diane”) and Charlene Coombs (“Charlene”), each ...

SPOUSAL TRUST INCOME DESIGNATIONS: A “BEWARE”

Tuesday, January 7th, 2014

A spousal trust, by definition is a trust that must pay or make payable all of its income to the spouse beneficiary on an annual basis. Nevertheless, there may be a good reason to have the income taxed in the spousal trust. The spouse beneficiary may have in a given year, ...