Finances Archives - Shajani CPA - Chartered Professional Accountants & Advisors

The Advantages of Surplus Stripping and Disintegration – Section 84(2)

December 30, 2022
Nizam Shajani, LL.M, CPA, CA, TEP, MBA Tax & Assurance Partner

Surplus stripping is back in the news with recent changes to legislation. This makes it imperative to understand past court decisions on this matter. Surplus stripping allows a taxpayer to receive funds that that have been earned by a corporation and subjected only to the corporate tax rates, without paying the personal dividend tax rate. …

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Probate Fee Planning

August 9, 2022
Nizam Shajani, LL.M, CPA, CA, TEP, MBA Tax & Assurance Partner

Generally, probate fees are not a planning priority in Alberta because fees are nominal (ranging from $25 to $400). However, if an individual who lives in Alberta and has property in another province (or outside of Canada) or is planning to move to a province (or country) that imposes higher probate fees, some consideration may…

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RESP Tax Plan

August 8, 2022
Nizam Shajani, LL.M, CPA, CA, TEP, MBA Tax & Assurance Partner

As we gear up for back to school for the little ones, it is important to prepare for the years after graduation. If you anticipate your children will attend post-secondary education, planning for this costly period should be done years in advance. And done correctly, this will save you tax dollars. Registered education savings plans…

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Act Now for Intergenerational Transfers – Bill C-208 Amendments to Section 84.1

August 3, 2022
Nizam Shajani, LL.M, CPA, CA, TEP, MBA Tax & Assurance Partner

There is still a window of opportunity for tax savings when transferring a business to a corporation owned by your child or grandchild and being allowed to claim the lifetime capital gains exemption before amendments are proposed to Bill C-208. Bill C-208 is a private member sponsored bill that allows small business owners to claim…

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Tax Free Money

February 8, 2021
Nizam Shajani, LL.M, CPA, CA, TEP, MBA Tax & Assurance Partner

Receive Funds Without Having to Pay Tax While generally you need to consider the tax implications when you received funds, here are some areas where funds can be considered tax free. These are a few gems still available to the Canadian taxpayer. Note this is not meant to be an idea for our governments –…

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Obtaining the Grant of Probate

December 15, 2020
Nizam Shajani, LL.M, CPA, CA, TEP, MBA Tax & Assurance Partner

By Nizam Shajani, CPA, CA, MBA Obtaining a grant of probate may be a necessary part of administering the will of an estate. The authority of the executor (“Personal Representative” in Alberta) appointed under a will arises immediately upon the death of the testator. However, in many cases it is necessary for the executor to…

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Deducting Meals and Lodging Related to Employment

December 9, 2020
Nizam Shajani, LL.M, CPA, CA, TEP, MBA Tax & Assurance Partner

By Nizam Shajani, CA, MBA If you incur costs related to employment such as overtime meals, travel to locations different from your employer’s place of business and incur expenses during travel for work – these costs may be deductible. To claim these deductions, your employer must complete and sign a T2200 form (declaration of conditions…

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Tax Rates in Alberta

December 5, 2020
Nizam Shajani, LL.M, CPA, CA, TEP, MBA Tax & Assurance Partner

By Nizam Shajani The 2021 combined personal federal and Alberta tax rates remain consistent with the prior year, although four of the tax brackets have had an increase in the dollar amount to qualify for the selected tax brackets with no increase at the top tax bracket. This is a positive for tax payers as…

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Charitable Donations

November 27, 2020
Nizam Shajani, LL.M, CPA, CA, TEP, MBA Tax & Assurance Partner

By Nizam Shajani, CPA, CA, MBA November 27, 2020 Tis the season to be giving. And donations to charities should be top of mind. Here are a few points to consider from a tax perspective to being nice this year. In Canada there are significant tax incentives for a qualified donation to a qualified donee.…

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Suspended Losses for Corporations, Trusts and Partnerships

November 20, 2020
Nizam Shajani, LL.M, CPA, CA, TEP, MBA Tax & Assurance Partner

By Nizam Shajani, CA, MBA November 20, 2020 While losses in your corporation, trust or partnership are undesirable from a conventional perspective, they can be valuable from a taxation standpoint. This is because depending on the type of loss incurred, it may result in lowering your tax obligation or even garnering a refund. However the…