It is common to suggest shareholders enter into a shareholders’ agreement, where each shareholder assumes certain rights and obligations relating to the business of the corporation. The shareholders’ agreement typically includes provisions dealing with the management of the business and future transfers of shares upon death or other circumstances. Unfortunately, once the…
Successful entrepreneurs often view the family business as the crown jewel to their legacy for the next generation(s). As such, succession planning for the family business and preserving the family’s wealth is always a top priority and often encompasses tax and estate planning. Implementing a succession plan that will ensure…
At least once in your life you’ll need a doctor, a lawyer and a preacher. But every day, three times a day, you need a farmer (Brenda Schoepp). Farming plays a pivotal role in our economy as it fulfills our basic daily necessities and it is in everyone’s interest that our…
Today’s blog was written by Jessica Butler, Law Clerk at Fasken LLP. Last weekend my husband and I settled in for a typical Sunday night at home – cozy on the couch with a good Netflix documentary. We decided to watch “Bob Ross: Happy Accidents, Betrayal and Greed”. What I…
Using “dual wills” as part of an estate plan is a well-established and frequently used strategy in Ontario and across Canada. This involves the execution of two wills. A Primary Will that deals with estate assets which cannot be distributed to a testator’s beneficiaries without a Certificate of Appointment of…
Part III – Corporate Attribution This blog post has been written by Pritika Deepak, Associate at Fasken LLP. This is the last part of a three-part blog series which provides a high level overview of the attribution rules contained in the Income Tax Act (Canada)[1] (the “Act”). Part I, which…
This blog has been written by Rahul Sharma, Partner, Fasken Martineau DuMoulin LLP, Toronto I seem to keep bumping into quotes that remind me that life is simple, but people are complicated. There are perhaps many ingredients to this complexity. Culture is one of them. Last week, I presented at…
Nearly two years ago, I wrote a blog post titled “Assessing Drake’s Estate Planning Needs”. The post looked at rap sensation Drake’s assets vis-à-vis his intent for his son Adonis to be the sole beneficiary of his estate, and the various considerations that he ought to have in planning for…
In an article written on January 10, 2023 by the Canadian Federation of Independent Business (CFIB),over $2 trillion in business assets could change hands within the next decade as over three-quarters (76 per cent) of small business owners are planning to exit their business. Unfortunately, as the article points out, only…
Since the introduction of the draft legislation for intergenerational business transfers (IBT) on March 28, 2023, the National tax services team at Baker Tilly Canada has reviewed the IBT rules in detail. For a convenient summary of the proposed IBT rules, please refer to the following document prepared by the…