ARE PROPOSED CHANGES TO THE INCOME TAX ACT A THREAT TO YOUR WEALTH?

If you’re an entrepreneur or small business owner, potential tax changes to Section 55 of the Income Tax Act may affect you. Let’s imagine you’re a dentist who has set up an operating company and a holding company in order to move retained earnings from the operating company by way of dividends that usually pass through tax free. These earnings were taxed at a low small business rate. You believe you have organized your financial life properly and done everything you can do to minimize taxation within CRA’s parameters. Read more...