Confirmed:  The CCR for Small Business is Tax Free

Ottawa has confirmed that the CCR for Small Business received by eligible Canadian-controlled private corporations (CCPCs) will be tax free for the 2019-20 to 2023-24 fuel charge years, as will the final payment for the 2024-2025 fuel charge year.  Draft legislation was released on June 30, 2025 with this announcement; and will be introduced for law making in Parliament this Fall.   Some of the more significant details are discussed below.

Are you making full use of the tax advantages available by investing in a Spousal RRSP?  It’s a legitimate way to get a lucrative tax deduction in 2024, defer tax on income earned in the registered account, split income in retirement and in many cases, avoid clawbacks of income-tested benefits and credits.  Yet the simple strategy of using a Spousal RRSP for all these benefits is often missed.  Here are the basic parameters to share with your clients, who may wish to start by investing their tax refund.

The Boomers had long dubbed been dubbed the “sandwich generation”.  But increasingly, Gen X and Gen Y are embracing the reality of multi-generational caregiving.  University age children are still living at home well into their 20s – even 30’s.  Elder family members have also thrived with caregiving by family members.  With the affordability crisis, family life is redefining itself in Canada.  That’s why tax and government assistance available for multi-gen family life is an important and hot topic. The last few federal budgets, including April 16, 2024 have promoted the trend to build secondary suites for these purposes with some tax breaks.  Consider the following:

While the government has stated that the new capital gains inclusion rules will not apply to the sales of a principal residence, which qualify for a principal residence exemption, the reality is that there are some important exceptions.  Consider the following and join us on May 22 for the CE Savvy Summit to have a peer-to-peer learning experience, earn 15 CE Credits and obtain access to a comprehensive Retirement and Estate Planning Certificate course and recorded presentations that cover the details.

Did you know that CRA has spent close to $9 million on its Community Volunteer Income Tax Programs?  CVITP grants have been providing in 3700 funding agreements to community organizations that offer free tax clinics.  There is a natural symbiotic referral relationship between certified tax pros and the non-for-profit volunteers, who must pass on more complex returns and returns for those with higher incomes. Knowledge Bureau can help by providing training at special rates to volunteers who wish to upskill with professional certification.

Are you ready to take the next step and help your clients experience financial peace of mind  while recent budget announcements, inflation and more are weighing heavily on Canadian taxpayers. Delivering confident advice has never been more important! Take advantage of an exclusive Program Offer and save $500 on Real Wealth Management™ Program tuition until May 31. Experience the education first by taking a risk-free Orientation, which includes a recording of a live RWM™ round table discussion.

One of the topics of conversation in the May 22 CE Savvy Summit for tax and financial advisors will be the new complexity the capital gains inclusion rate increases will bring to the Income Tax Act.  Although the draft legislation to bring the current 50% rate up to 66 2/3% is still missing in action despite a looming June 25 date on the horizon, the changes will require a look back to the 1980’s to calculate gains properly and looking forward, potentially 6 different capital gains exemptions.