The practice of law is changing every day, and the effect of changing legislature on businesses is significant. We write about recent developments in the world of tax & business law, keeping a watchful eye on the changing landscape for our clients. See what we’re thinking about, and what your business should be looking out for.

  • Mo Headshot (1)By Mohamed AmerySeptember 18 2017
    The Purchase Money Resulting Trust

    Without question, the best way for a transacting party to protect its interests is by entering into a binding and enforceable written contract with its counterparty.  That said, there are presumptions, or rules of substantive law, that courts have developed to provide remedies to parties in relationships lacking such formalization.  One such vehicle is the purchase money resulting trust.  

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  • Matt Trotta Headshot (1)By Matt TrottaSeptember 13 2017
    Tax & Estate PlanningRRSPs, RRIFs and Estate Insolvency

    Many Canadians take advantage of Registered Retirement Savings Plans (RRSPs) during their income earning years, which then mature into Registered Retirement Income Funds (RRIFs) upon reaching the age of 71. The advantage from these assets in life can quickly become a disadvantage in death due to the potential tax burden that these assets can pose to the post-mortem administration of an estate that was not properly planned out by a qualified tax lawyer. 

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  • Rob Headshot Desktop (1)By Robert WorthingtonSeptember 07 2017
    Tax LawFinance Minister Morneau’s Tax Proposals Harm the Elderly, Disabled, and Immigrants

    The July tax proposals that target small businesses have been the topic of much discussion in the media. These proposed rules are supposedly intended to close so-called “loopholes” used by wealthy individuals. However, if these rules are enacted in the form proposed, the collateral damage will extend to vulnerable members of our society, being the elderly and disabled – in particular, those who are beneficiaries of discretionary family trusts. Many immigrants who own small businesses will also be affected. Despite Minister Morneau’s recent assertion that the proposals will not affect “small” businesses, the fact is we have several clients with business income in the $100,000 to $200,000 per year range that will absolutely be affected if these proposed rules are passed into law.

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  • Dennis Headshot 1 (1)By Dennis L. Nerland, QCSeptember 06 2017
    Tax LawFamily Limited Partnerships

    A Family Limited Partnership (FLP) is nothing more than a limited partnership, created as a vehicle to transfer income and title to assets from the family head to other family member, rather than to a non-family business associate. When the owner of a business is in a high income tax bracket, this transfer can drastically reduce any personal liability and taxes.

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  • Dennis Headshot 1 (1)By Dennis L. Nerland, QCAugust 30 2017
    Tax LawThe Limited Partnership Protective Shield

    In contrast to a general partnership, a limited partnership must by law be composed of at least one general partner, who serves as the managing partner, and one or more limited partners. Provincial legislation sets out the general rights and responsibilities of the limited and general partners between themselves, the public, and all other individuals with whom they have business dealings. This law protects the limited partners from the broader liability of a general partner – unless the limited partner actually takes an active part in management and control of the business. It further gives the limited partners full rights and access to all partnership information, as well as guaranteeing the limited partners their share of profits or other compensation by way of regular income payment.

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  • Joe Headshot (1)By Joe BrennanAugust 25 2017
    Business LawCSA Guidance on the Role of Special Committees in Material Conflicted Transactions

    The Canadian Securities Administrators (“CSA”) recently released guidance on their expectations regarding the role of special committees in material transactions where there is also a material conflict of interest (i.e. related party transactions, insider bids, issuer bids and business combinations with involving insiders).  This article presents the key takeaways from that guidance.  

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