Impact of Higher Capital Gains Inclusion Rate on Financial & Estate Planning
Accountants, Blog, Buy Sell, corporate, Family, financial advice, Financial Planning, incorporated professionals, individuals, Investment, taxOne change proposed in the April 16, 2024 Federal Budget is raising the inclusion rate on capital gains from 50% to 66.7%. For individual taxpayers, the initial $250,000 of capital gains remains taxed at the 50% inclusion rate. However, for corporations and trusts, the increased inclusion rate applies to all capital gains. These adjustments are slated to come into effect starting June 25, 2024.
What does this mean for individual taxpayers?
Why A Buy-Sell Agreement Is Vital For Your Business
Blog, Business Owners, Buy SellA buy-sell agreement is a legally binding document that sets out what must happen to a business if one or more of the owners is no longer involved. It is crucial for businesses as it protects both shareholders and the business itself in the event of a partner's departure. A buy-sell agreement provides many benefits, including maintaining business continuity, minimizing disputes between remaining co-owners and the family of the departing owner, decreasing stress and uncertainty for all business owners, and protecting business assets and liquidity with a solid financial and tax plan.
Insurance Planning for Incorporated Professionals
Blog, Buy Sell, Critical Illness Insurance, Disability Insurance, Group Benefits, health benefits, incorporated professionals, Insurance, Life Insurance, Travel InsuranceFor incorporated professionals, making sure your business is financially protected can be overwhelming. Incorporated Professionals face a unique set of challenges when it comes to managing risk. Insurance can play an important role.
Insurance Planning for Business Owners
Blog, Business Owners, Buy Sell, corporate, Disability Insurance, Group Benefits, health benefits, Insurance, Life Insurance, Travel InsuranceFor business owners, making sure your business is financially protected can be overwhelming. Business owners face a unique set of challenges when it comes to managing risk. Insurance can play an important role.
The Need for Corporate Life Insurance
Blog, Business Owners, Buy Sell, corporate, Estate Planning, Life InsuranceLife insurance is used for two general purposes in a private corporation – managing risk and creating opportunities. The risk management function is satisfied as life insurance provides the corporation with a tax-free payment in the event of the death of an owner or someone vital to the success of the business. As life insurance also allows for the tax-sheltered build up of cash value additional planning opportunities are additionally created.