Feigenbaum Law

income sprinkling

Budget

Corporate Tax Planning

Ontario’s 2018 Budget: Tax Credits, but no Corporate Tax Cut

Earlier this week, Ontario’s Finance Minister Charles Sousa delivered the provincial Liberal’s final budget prior to June’s pending election. The budget calls for $20.3 billion in spending over the next three years, including more than $900 million for businesses and jobs training under a “Good Jobs and Growth Plan”. The budget projects 2.2% provincial GDP growth in 2018, 1.8% in 2019, and 1.9% in 2020 (growth was an estimated 2.7% in 2017). Read More

MLI

Corporate Tax Planning

Canada’s Department of Finance Backtracks on Controversial Elements of Recent Tax Proposals

Earlier this year, we blogged about the federal government’s proposed tax changes. This week, the Department of Finance Canada clarified some aspects of the proposed measures, including providing more information about some of the most contentious elements of the tax-reform plan. The news came in the wake of significant public outcry and anger across the country, particularly from small business owners. The Modified Passive Income Proposal Finance Minister Bill Morneau clarified that… Read More

Tax changes

Personal Tax Planning

Canadian Business Owners Outraged by Ottawa’s Proposed Tax Changes

In July, the Finance Minister announced proposed tax changes that, if passed, will affect private corporations.  The stated purpose of the changes is to crack down on individuals using corporations to pay less taxes. Following the announcement, the Minister launched a 75-day consultation period on three proposed changes: Restrictions on “income splitting” (i.e. business owners shifting a portion of income to family members through salary or dividends); Curtailing “passive investment income” (i.e. Read More