Wealth Strategies: Recent federal tax & income splitting changes for small business - Making sense of it all

Recent Federal Tax & Income Splitting changes for Small Business - Making Sense of It All

We’ve seen numerous changes enacted of late that affect small businesses in regards to passive income and the small-business deduction, as well as income splitting within the business. These aren’t welcome changes for the small business community, nor are they the most straightforward to interpret and plan for.

That said, educating ourselves on the revisions will allow us to make informed business decisions to minimize and/or mitigate potential negative consequences. The following articles from Investment Executive offer clarity on both subjects at hand. The first speaks to passive investment rules and the latter to income splitting. Please click the links to learn more and contact Milestone so that we can work with your small business accountant to ensure your investment strategy is tax-efficient.