A good friend of mine, Kunal Gupta, CEO of Polar Mobile Group created this great application for blackberry. The applications are allowing you to read easily magazines on your blackberry ... they are signing up new magazine every week now - in addition, it is FREE !!!!
Have a look at those: Macleans and Canadian Business.
you can download it here for Macleans magazine.
and
you can download it here for Canadian Business magazine.
Tuesday, July 29, 2008
Thursday, July 24, 2008
Personal Tax Calculator
Most people like to have an idea of the amount of taxes that they will need to pay - I find this online tool quite practical - it's a personal tax calculator created by Ernst & Young - have a look, it's quite helpful.
Cheers,
Hugues
Cheers,
Hugues
Monday, July 21, 2008
Single Administration of Ontario Corporate Tax
The Governments of Canada and Ontario signed a Memorandum of Agreement on October 6, 2006, that will lead to the Canada Revenue Agency (CRA) administering most of Ontario's corporate taxes.
Ontario businesses will benefit from one form, one set of rules, one audit, one appeals process and one point of contact.
The CRA will administer the following corporate taxes on behalf of Ontario:
Corporate income tax
Corporate minimum tax
Capital tax
Special additional tax on life insurers
Ontario will continue to administer:
Mining tax
Insurance premiums tax
Electricity Act payments-in-lieu of federal and Ontario corporate taxes
Single administration will take effect for taxation years ending after December 31, 2008. This means that:
The CRA is now accepting blended provincial and federal instalment payments for the 2009 taxation year; and
The CRA will be ready to accept a single, harmonized T2 Corporation Income Tax Return (including the Ontario Corporations Information Act Annual Return) for taxation years ending after December 31, 2008.
for more information click here
Ontario businesses will benefit from one form, one set of rules, one audit, one appeals process and one point of contact.
The CRA will administer the following corporate taxes on behalf of Ontario:
Corporate income tax
Corporate minimum tax
Capital tax
Special additional tax on life insurers
Ontario will continue to administer:
Mining tax
Insurance premiums tax
Electricity Act payments-in-lieu of federal and Ontario corporate taxes
Single administration will take effect for taxation years ending after December 31, 2008. This means that:
The CRA is now accepting blended provincial and federal instalment payments for the 2009 taxation year; and
The CRA will be ready to accept a single, harmonized T2 Corporation Income Tax Return (including the Ontario Corporations Information Act Annual Return) for taxation years ending after December 31, 2008.
for more information click here
Monday, July 7, 2008
A kid in a candy shop... Springwise.com
For those, who like me, really enjoy business ideas, take the time to have a look at this great website : Springwise
What is Springwise?
Springwise scans the globe for the most promising business ventures, ideas and concepts that are ready for regional or international adaptation, expansion, partnering, investments or cooperation. They ferociously track more than 400 global offline and online business resources, as well as taking to the streets of world cities, digital cameras at hand.
Have a look, it's worth it.
What is Springwise?
Springwise scans the globe for the most promising business ventures, ideas and concepts that are ready for regional or international adaptation, expansion, partnering, investments or cooperation. They ferociously track more than 400 global offline and online business resources, as well as taking to the streets of world cities, digital cameras at hand.
Have a look, it's worth it.
Thursday, July 3, 2008
Taking care of business with estate freezes *
I previously wrote about an estate freeze happening during the course of a corporate reorganization. Today, I would like to share a great article written by Tim Cestnick from the Globe and Mail:
SECTION 86, Income Tax Act - Estate Freeze
THE CONCEPT
What in the world is an estate freeze?
It's the process of taking certain assets you own today and freezing them at their current values. The idea is that the future growth of those assets will accrue to anyone you choose – your children or other heirs, for example. So, why would anyone consider a freeze? There are a few potential benefits.
Cutting the tax bill on death. When a freeze is completed, all future growth between the date of the freeze and your death will accrue in the hands of your heirs. That future growth will otherwise be taxed in your hands at the time of your death, if not sooner, if the freeze isn't done.
Deferring the ultimate tax bill. By passing the future growth in the asset's value to your heirs, you can defer income tax on that growth until a much later time. Although your heirs will eventually pay tax, these taxes may not be due, for example, until your heirs pass away. Establishing the tax bill on death. By freezing the value of an asset today, you'll be able to establish, pretty accurately, what your tax bill will be upon death. This makes planning for those taxes much easier. You could, for example, consider buying life insurance to cover the tax liability.
Utilizing the capital gains exemption. A freeze may allow you to take advantage of the lifetime capital gains exemption where you own shares of a qualified small business corporation or qualified farm or fishing property. This exemption could shelter up to $750,000 of capital gains on these types of assets.
Splitting income with family members. In the process of completing a freeze, you'll be placing certain assets (often private company shares) in the hands of your heirs, either directly or indirectly through a trust. These assets can provide regular income to your heirs that will be taxed in their hands – not yours.
Protecting assets from creditors. It may be possible to protect certain assets from creditors by transferring their ownership to your heirs or, better still, a family trust, as part of a freeze.
Protecting assets from spouses. If your kids (or you) own valuable and growing assets prior to marriage, it may be possible to use a freeze to minimize the claims of future spouses or ex-spouses through planning that can be done prior to marriage. Reducing probate fees. A freeze will restrict the growth of the frozen assets in your hands. This means that you'll generally own less in your hands at the time of your death than you would have without the freeze, which will minimize probate fees.
Minimizing annual taxes. Freezing assets typically requires a corporation to be set up. Corporations that carry on an active business are entitled to very low rates of tax (about 18 per cent) on the first $400,000 of active business income. It may be possible to take advantage of these rates, depending on the assets you're freezing.
Maintaining control over the property. You can enjoy the first nine benefits without having to give up control over or use of the assets during your lifetime.
THE CANDIDATES
An estate freeze is most commonly undertaken by those who own active businesses. The shares of a growing private company can give rise to a substantial tax bill at the time of death, and where there's a desire to pass the business to the kids or other heirs, a freeze can facilitate this nicely since you'll be able to issue new growth shares (common shares) to anyone you'd like. Other assets can be frozen as well, but it's not as commonly done.
Before undertaking an estate freeze, you should be confident in a couple of things: (1) That you're happy with the amount of growth you've received to date, and you're happy to see the future growth accrue to someone else; (2) That there will be sizable growth in the assets in the future.
If there isn't going to be much future growth in the assets you're freezing, then there won't be much growth to have taxed in the hands of your heirs; it may not be worthwhile freezing in this case.
* Published in the Globe and Mail, July 3rd, 2008
As business lawyer, I suggest this option to a lot of my clients - with an estate freeze and a corporate reorganization they can save a substantial amount of money. As usual, if you have any questions, please do not hesitate to contact me.
SECTION 86, Income Tax Act - Estate Freeze
THE CONCEPT
What in the world is an estate freeze?
It's the process of taking certain assets you own today and freezing them at their current values. The idea is that the future growth of those assets will accrue to anyone you choose – your children or other heirs, for example. So, why would anyone consider a freeze? There are a few potential benefits.
Cutting the tax bill on death. When a freeze is completed, all future growth between the date of the freeze and your death will accrue in the hands of your heirs. That future growth will otherwise be taxed in your hands at the time of your death, if not sooner, if the freeze isn't done.
Deferring the ultimate tax bill. By passing the future growth in the asset's value to your heirs, you can defer income tax on that growth until a much later time. Although your heirs will eventually pay tax, these taxes may not be due, for example, until your heirs pass away. Establishing the tax bill on death. By freezing the value of an asset today, you'll be able to establish, pretty accurately, what your tax bill will be upon death. This makes planning for those taxes much easier. You could, for example, consider buying life insurance to cover the tax liability.
Utilizing the capital gains exemption. A freeze may allow you to take advantage of the lifetime capital gains exemption where you own shares of a qualified small business corporation or qualified farm or fishing property. This exemption could shelter up to $750,000 of capital gains on these types of assets.
Splitting income with family members. In the process of completing a freeze, you'll be placing certain assets (often private company shares) in the hands of your heirs, either directly or indirectly through a trust. These assets can provide regular income to your heirs that will be taxed in their hands – not yours.
Protecting assets from creditors. It may be possible to protect certain assets from creditors by transferring their ownership to your heirs or, better still, a family trust, as part of a freeze.
Protecting assets from spouses. If your kids (or you) own valuable and growing assets prior to marriage, it may be possible to use a freeze to minimize the claims of future spouses or ex-spouses through planning that can be done prior to marriage. Reducing probate fees. A freeze will restrict the growth of the frozen assets in your hands. This means that you'll generally own less in your hands at the time of your death than you would have without the freeze, which will minimize probate fees.
Minimizing annual taxes. Freezing assets typically requires a corporation to be set up. Corporations that carry on an active business are entitled to very low rates of tax (about 18 per cent) on the first $400,000 of active business income. It may be possible to take advantage of these rates, depending on the assets you're freezing.
Maintaining control over the property. You can enjoy the first nine benefits without having to give up control over or use of the assets during your lifetime.
THE CANDIDATES
An estate freeze is most commonly undertaken by those who own active businesses. The shares of a growing private company can give rise to a substantial tax bill at the time of death, and where there's a desire to pass the business to the kids or other heirs, a freeze can facilitate this nicely since you'll be able to issue new growth shares (common shares) to anyone you'd like. Other assets can be frozen as well, but it's not as commonly done.
Before undertaking an estate freeze, you should be confident in a couple of things: (1) That you're happy with the amount of growth you've received to date, and you're happy to see the future growth accrue to someone else; (2) That there will be sizable growth in the assets in the future.
If there isn't going to be much future growth in the assets you're freezing, then there won't be much growth to have taxed in the hands of your heirs; it may not be worthwhile freezing in this case.
* Published in the Globe and Mail, July 3rd, 2008
As business lawyer, I suggest this option to a lot of my clients - with an estate freeze and a corporate reorganization they can save a substantial amount of money. As usual, if you have any questions, please do not hesitate to contact me.
Wednesday, July 2, 2008
Daily ressources for entrepreneurs - INC. Magazine
I am a big fan of Inc. magazine - If you don't know this magazine, I suggest that you have a look at their website. I can assure you that you will find a lot of really interesting stories and tips.
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