Advocate suggests EOT legislation, as proposed in the 2023 federal budget, will not lead to increased employee ownership
Vancouver-based trust company manages $400 million in assets
Bill C-32 delays enhanced reporting requirements for trusts, but would implement a new tax credit, the surtax on banks and insurers, and more
Ability for both spouses to contribute independently opens up more possibilities
Simple arrangements such as joint bank accounts could be caught
The legislation also covered changes to RRSP and RRIF reporting, charity disbursements and more
Clients may have bare trust arrangements without being aware of them
Several proposals from Budget 2021 were also included in the draft legislation
Expanded trust reporting requirements announced four years ago were set to be effective, but feds still haven't passed legislation to enable them
Complex relationships are increasing the risk of litigation