Canada: New Family Income Splitting Lowers Tax Bills

As the year draws to a close, tax planning begins to receive more attention. If you are considering income splitting as a means to reduce your tax burden, there are a number of factors to consider.

With our system of progressive income-tax rates for individual B.C. residents, there are nine personal income-tax brackets created by the federal and provincial tax rates. The highest marginal tax rate is at 45.8 per cent for taxable income greater […]

By |December 1st, 2014|

Canada: GST/HST Closely Related Election Amendments – Tips & Traps

Nature of the Election
To streamline their GST/HST compliance and improve their GST/HST cash flow, two “closely related” GST/HST registrants can relieve GST/HST on taxable transactions between them by entering into a joint election (the “Election”) pursuant to subsection 156(2) of the Excise Tax Act (the “ETA”). In addition to the benefits of the Election for ongoing transactions, the Election can be useful to improve cash flow in the context of reorganizations or “one-off” transactions […]

By |December 1st, 2014|

CRA Announces Collaboration With CPA Canada

As expected, the CRA has formally announced the details of its collaborative efforts with CPA Canada.

The CRA recently spoke about this collaboration at the Toronto Centre CRA-Tax Professionals breakfast seminar.

The CRA news release, which is titled “Harper Government solidifies partnership with Canada’s Professional Accountants”, states,

The new Canada Revenue Agency (CRA)-Chartered Professional Accountants of Canada (CPA Canada) Framework Agreement was formally signed by Andrew Treusch, Commissioner of Revenue and Chief Executive Officer of the CRA, […]

By |November 28th, 2014|