Pre-Budget Consultations Now Underway!

Pre-budget consultations are now underway for this fall’s Federal Budget and Canadians are invited to share their views with Finance Minister Francois-Philippe Champagne through an online survey. Over the next several weeks, the Finance Minister and his team will meet with various stakeholder groups and review public submissions before finalizing the budget.

While there were few personal tax changes in last month’s Federal Budget, many seniors and their families may be affected to some degree by the adjustments made to GST/HST Canada. The paper burden has also been reduced for businesses who offer Pension Plans, including Pooled Retirement Pension Plans, or deal with the Governor General. 

Tax changes for asset purchases will be introduced for 2013 and beyond – allowing taxpayers a more significant Capital Cost Allowance deduction in some cases – in an attempt by the federal government to stimulate the manufacturing sector.

I held 200 shares of Kraft Foods in my non-registered investment account. Kraft split into Kraft Foods and Mondelez International. I now have 66 shares of Kraft and 200 of Mondelez. I noticed that my T5 slip is indicated that I received a foreign dividend of over $3,000. Is this a taxable dividend? I didn't receive any cash and the value of the two shares together were more or less the same. Please advise as this is a nasty shock. 

For owners of small businesses who pay themselves with dividends, the changes to the gross-up and dividend tax credit rates for 2013 will mean that the tax-free zone will decrease from its current level of about $42,500 for single taxpayers in 2013 to about $35,000 in 2014. 

Home office expenses are common for the self-employed; some employees may claim them too, when their employer signs Form T2200 to confirm this requirement. These claims are often audited so be sure to know the rules.

Family business owners typically have most of their net worth tied up in their business. Finding solutions to properly structure the business to allow it to flourish while allowing owners and their families to plan for their future can be difficult, especially if there is little time to explore strategies. This book will outline the options available to the family to ensure they know how to protect one of their most valuable assets.