CALU report

In an update from our September 2023 CALU Report, this publication discusses recently enacted changes to the Alternative Minimum Tax (AMT) that will apply starting in the 2024 tax year and additional technical amendments proposed in August 2024 draft legislation. The CALU Report also addresses related planning implications for high-income Canadians. We extend our thanks to Will Anderson from PwC for his work on this publication. Download Now

Kenneth Keung and Kevin Wark explain that draft legislation on the Canadian Entrepreneurs’ Incentive released in August is improved from the original proposal in Budget 2024, but concerns remain that a significant number of small business owners will not be eligible for the deduction intended to help offset the impact of the increase in the capital gains inclusion rate to 66.67%. Download Now

This CALU Report by Susan Johnson and Kevin Wark provides an overview of the legislative history for EOTs, the requirements for a trust to qualify as an EOT and the new “super exemption” that is now included in Bill C-69 currently before Parliament. Download the report

This CALU Report summarizes the tax treatment of funds held in a First Home Savings Account (FHSA) on the death of the holder under various scenarios. Download now

In this CALU report, Jason Lau and Kenneth Keung from Moodys Tax Law review the new intergenerational business transfer rules relating to section 84.1 of the Income Tax Act that are expected to take effect in 2024. (Members only) Download now

This CALU Report on the Alternative Minimum Tax (AMT) updates a previous report and includes a review of the key rules as modified by the August 2023 draft legislation from the Department of Finance. (Members only) Download now

A life insurance trust is an effective vehicle for distributing life insurance proceeds in a way that meets the particular needs of both the insured and beneficiaries, with the proceeds benefiting from creditor protection and probate avoidance. In this CALU Report Dianna Flannery reviews the circumstances where a life insurance trust may be used, how to properly establish a life interest trust, as well as related tax and other planning considerations. (Members only) Download the report

In Budget 2022, the federal government committed to examining a new minimum tax regime to ensure that all wealthy Canadians pay their fair share of tax. The 2022 Fall Economic Statement indicated that detailed proposal and path for implementation will be released in Budget 2023, which is now set for March 28th.  This CALU Report will review the existing AMT rules and discuss what changes the government might consider in light of its concerns, and in turn helps position CALU to respond to any government proposals. (Members only) Download the report

CALU is pleased to announce the release of the latest CALU Report entitled “Inflation and the impact on CPP and OAS” by CALU member Lea Koiv. This article discusses how the design of the CPP and OAS programs not only helps retirees manage inflation risks, but can also significantly influence when to elect to start benefit payments. It also discusses other important plan features that should be kept in mind when helping clients make the important decision on when to commence CPP and OAS benefit payments. (Members only) Download the report

The Tax Court of Canada (TCC) decision in Robillard v. The Queen is a recent example of the tax uncertainty involving a post-mortem pipeline plan that was challenged by the Canada Revenue Agency (CRA). As discussed in this report by Sanjana Bhatia from Sun Life Financial, there continues to be two main uncertainties for those who wish to implement a pipeline strategy. These are: the appropriate timing of the winding-up of the business owner’s corporation, and the repayment terms of the promissory note (or timing of the redemption of preference shares, depending on how the pipeline strategy was implemented) ...