On Oct. 16, the federal government announced it would cut the small business tax rate to 9 percent from 10.5 percent by 2019.
While this is welcome news for most small business owners, it has failed to alleviate concerns about proposed changes to the way private corporations are taxed.
These changes are designed to target three common tax planning techniques often used by private corporations, including small businesses.
The first is income splitting.
Family-owned businesses often split income among members who share ownership for tax and succession benefits. The primary benefit of income splitting is allowing dividends to be paid to family members in a lower tax bracket.
Cyber crimes targeting small businesses rarely make the headlines, but that doesn’t mean they aren’t a popular target for online criminals.
If anything, small businesses are a target of choice because, compared to large corporations, they typically have weaker cyber security and more accessible assets.
There are some simple steps you can take to protect your personal cyber security. Although most of them are common sense, it makes it more difficult for criminals to access your data, making you a less attractive target.
We recently read an interesting commentary on the Canadian dollar by Dagmara Fijalkowski of RBC Global Asset Management. It highlighted some interesting points.
In just three months, the Canadian dollar appreciated approximately 10%, an uncommon feat that will impact the pocketbooks of all Canadians.
In June, the Bank of Canada predicted stronger economic growth and adjusted monetary policy to match, raising its key interest rate for the first time in seven years, to 0.75%. The market took notice, especially when the United States Federal Reserve chose to instead focus on its balance sheet.
Most Canadians have heard the term executor; it is synonymous with the Quebec term liquidator. But many remain unclear as to the exact responsibilities and limitations of a liquidator.
Simply put, the liquidator handles a deceased person’s estate. The liquidator has to manage bank accounts and assets, distribute these to the deceased’s heirs, and file taxes. Depending on the complexity of the assets, the role may entail a lot of work, and there are significant legal obligations placed on the liquidator including the potential responsibility for the debts of the deceased.