A Challenge for New Clients: How to Choose a Trusted Advisor

If you’re in business for yourself, you have a unique opportunity to build wealth in an asset class that others don’t have: equity in a business enterprise that some day may be sold for millions of dollars. In addition, that business can spin off income for family members that can provide significant tax advantages, done well. Understanding how to realize on this asset requires the help of a trusted financial advisory team. Who should be on that team and how do you find them? This is a challenge your next new business clients may wrestle with. Here are some tips on how you can open discussions to help them:

Last month we asked “Do payday loan companies and tax discounting providers still have a place in Canadian financial services?”, and the results are in…

As another financial crisis looms in the US (. . .the government runs out of money on October 1, and the US is about to hit a $16.7 trillion debt ceiling and go into default in mid-October), Lawrence Schembri, the Deputy Governor of the Bank of Canada spoke to the Certified Financial Accountants society (CFA) in Ottawa on September 24th about the necessity of the Financial Stability Board (FSB).

It has been 25 years since the General Anti-Avoidance Rules (GAAR) were implemented as part of our tax code; their application remains somewhat uncertain and experts disagree over its effectiveness.

It’s official: October 1 marks “year end tax planning season” and if you want to make it count, the best place to start making plans is to assess your personal and family net worth.  

Under Section 231.1 of the Act, an authorized person may, at any reasonable time, for any purpose related to the administration or enforcement of the Act, enter into a taxpayer’s premises, inspect and examine property, and require the assistance of the taxpayer to answer all reasonable questions in relation to the enforcement of the Act.

To everything there is a season, and for many, understanding the tax consequences of death on personal and family net worth is a crowning achievement that allows for a powerful wealth transition. This type of preparedness, unfortunately, is rare.