Blog
Bitcoin
Tax Implications of Mining Cryptocurrency
The advent of Bitcoin and other digital currencies provides opportunities for people to use currencies outside of those controlled by traditional financial institutions. The explosion in the value of Bitcoin, the most well-known digital currency (also known as cryptocurrency) brought talks that the Canada Revenue Agency would be finding ways to tax it. With tax season approaching, it is worth taking a look at how the CRA currently determines the taxation of cryptocurrency when it… Read More
Personal Tax Planning
Key Amnesty Programs for US Taxpayers Living in Canada Set to Close
We have written in previous blogs about the increased lengths that the IRS and Canadian financial institutions are going to uncover dual US/Canadian citizens living in Canada who have failed to report US income tax. Some Americans living in Canada may have previously taken advantage of amnesty programs offered by the IRS such as the Offshore Voluntary Disclosure Program (OVDP) in order to file old income tax statements and avoid the potential financial penalties… Read More
Cross-Border Estate Planning
Failure to Designate a Beneficiary When Converting an RRSP to a RRIF Results in Tax Bill
One of the primary reasons you may engage in estate planning can be to limit the amount of tax that is payable by the estate in the event of your death. A recent story shared by CTV News in Calgary covers the story of a woman who was left with a $270,000 bill to the Canada Revenue Agency as the result of an oversight in her husband’s retirement planning. A Small… Read More
Tax Disputes & Litigation
Contractor or Agent? A Crucial Difference When it Comes to Taxation
If there’s a lesson to be learned when it comes to contract law, it’s that language and details matter. Even a seemingly straightforward contract between two parties can lead to serious tax consequences if certain aspects of the business relationship are not properly addressed in the contract. In a recent case heard by the Tax Court of Canada, a taxpayer found himself in hot water after failing to collect HST during… Read More
Corporate Tax Planning
Deducting an Assistant’s Salary As a Salaried Employee
People who run their own businesses enjoy the ability to deduct a number of expenses from their income, such as instances where a spouse provides work for them in exchange for payment. Salaried employees, however, are not able to make similar claims without jumping through some significant hurdles. A recent decision from the Tax Court of Canada serves to highlight this important distinction. A Full-Time Sales Manager Working From Home The… Read More