Home In Depth Special Reports Small business tax changes, one year later

Small business tax changes, one year later

On July 18, 2017, the Canadian government released a consultation paper targeting “unfair tax advantages” available to small business owners, including income splitting with family members. Though the proposals were far-reaching and complex, the feds gave taxpayers a scant 75 days to comment. What they received was a wave of overwhelmingly negative reaction from the small business sector and various tax groups. In the months afterward, and again in Budget 2018, the feds revised some proposals, and retreated completely from others. One year later, with the final proposals now law, small businesses are just getting their bearings.

Here are the highlights from Investment Executive’s coverage of the small business tax changes over the last 12 months:

July 18, 2018

Small biz tax changes: where we are now

The federal government’s final proposals received royal assent on June 21

  • July 18, 2018 July 17, 2018
  • 05:00

CRA provides little direction on new small-business tax regime

Although two CRA officials gave more information on certain rules at this year’s STEP conference, a tax expert expressed frustration with the draft legislation

  • June 4, 2018 July 17, 2018
  • 10:00

IIAC urges feds to abandon or amend small-business tax changes

The proposed rules could result in a flight of capital out of the country, the group suggests

  • May 2, 2018 July 17, 2018
  • 12:40

Taxes: Incorporate — or not?

How the CRA will apply the new rules remains unclear

  • April 27, 2018 July 17, 2018
  • 00:26

Act now to avoid losing out on the small business deduction in 2019

It’s important to be aware that the new rule limiting access to the small business deduction for CCPCs in 2019 is based on 2018 income

  • April 9, 2018 July 17, 2018
  • 06:00

Feds provide more details on revisions to small business tax proposals

Businesses will have until Dec. 31, 2018, to adjust to the changes

  • December 13, 2017 July 17, 2018
  • 16:30

Small business owner clients should consider paying out additional dividends before yearend

Ottawa’s decision to lower the small business tax rate in 2018, 2019 also means that the dividend tax rate will be rising; clients have a limited opportunity to pay out dividends at lower rates

  • December 6, 2017 July 17, 2018
  • 11:45

Taxes: Ottawa backtracks

Feds take a “step in the right direction”

  • November 14, 2017 July 17, 2018
  • 01:00

Changes to tax reform proposals aimed at clarifying wealthy are the target

The addition of a cut to the small business tax rate appears to be the political equivalent of a spoonful of sugar to make the reform medicine go down

  • October 16, 2017 July 17, 2018
  • 07:30

Ottawa’s proposals won’t achieve tax fairness, C.D Howe Institute says

The tax proposals for passive investments risk delivering a blow to the retirement planning of many small-business owners

  • October 5, 2017 July 17, 2018
  • 11:15