Imagine this: you’ve spent decades building your family business—late nights, early mornings, sacrifices for your children’s future. One day, it’s time to retire or pass it on. But instead of preserving your life’s work, a significant portion of your wealth…
Few issues create more tax risk for growing businesses than this one: Is the worker an employee — or an independent contractor? The distinction affects: Payroll withholdings CPP and EI Deductibility of expenses GST/HST obligations Employment standards exposure CRA penalties…
Employee vs. Independent Contractor in Canada: A Definitive Tax, CPP/EI & Legal Framework for Family-Owned Enterprises It often begins with a simple business decision. A growing company needs help. A skilled professional is brought in. Instead of adding another employee…
If your corporation provides you with a vehicle, you may assume: “It’s a business expense.” For the corporation, that may be true. For you personally, it is not that simple. When a corporation makes an automobile available to an employee…
Stock options are often described as “upside.” They are meant to reward growth. To align employees with shareholders. To create wealth when a company succeeds. But when are you actually taxed? And how much? In Canada, employee stock options are…
If you own a private corporation, this question arises every year: “Should I pay myself salary or dividends?” It sounds simple. It is not. The answer affects: Personal tax Corporate tax CPP contributions RRSP room Cash flow Long-term retirement planning…
For decades, income splitting was a legitimate planning strategy for Canadian family businesses. Shares were issued to spouses. Dividends were paid to adult children. Trusts were used to distribute corporate profits. Then came the Tax on Split Income. If you…
For years, many Canadians assumed the Alternative Minimum Tax was a technical footnote. It was something that affected “someone else.” In 2026, that assumption is increasingly dangerous. If you are: A business owner selling shares An investor claiming large deductions…
The dividend was paid. The tax return was filed. The deal closed. Everyone moved on. Five years later, a CRA reassessment arrived—and with it, a tax bill no one saw coming. This is how section 55 usually enters the story…
For decades, Canadian business owners faced a difficult question: “How do I exit my business without selling to private equity — and without triggering punitive tax?” The introduction of the Employee Ownership Trust (EOT) regime created a new path. In…