Category: Canadian Tax Issues

2018 Year-End Tax Planning Letter

Dear Clients and Friends, Last December, Congress passed the Tax Cuts and Jobs Act which will greatly impact taxes for 2018. While the law was signed nearly a year ago, the Internal Revenue Service continues to issue regulations in response to tax professional questions in interpreting these new laws. Among the major changes: Lower individual … Continued

Tax Planning for 2017

In the early part of December each year we focus on year-end tax planning of our clients. The reality is, however, that December is too late to implement some really effective strategies—that planning should begin in January. One of the more effective tax planning strategies for taxpayers of all income levels is to manage their … Continued

Simplified Per-diem Increase for Business Travel

The following is a summary of an important tax development that has occurred in the past three months that may affect you, your family, your investments, and your livelihood. Please call us for more information about any of these developments and what steps you should implement to take advantage of favorable developments and to minimize … Continued

Research Credit for Internal Use Software

The following is a summary of an important tax development that has occurred in the past three months that may affect you, your family, your investments, and your livelihood. Please call us for more information about any of these developments and what steps you should implement to take advantage of favorable developments and to minimize … Continued

Tax Cuts and Job Act (TCJA): Impact on IC-DISC Effectiveness

Tax Cuts and Job Act (TCJA): Impact on IC-DISC Effectiveness Let’s explore the use and effectiveness of the Interest-Charge Domestic International Sales Corporation (IC-DISC) in the new tax environment. For those new to an IC-DISC, the IC-DISC converts what would normally be ordinary business income into qualified dividends, thus generating a tax savings due to … Continued

Post-Election Tax Letter

Any change in Presidential Administration brings the possibility, indeed the likelihood, of tax law changes and the election of Donald Trump as the 45th President of the United States is no exception. During the campaign, President-elect Trump outlined a number of tax proposals for individuals and businesses. This letter highlights some of the President-elect’s tax … Continued

The Hidden Surprise in Your Canadian Vacation Home

I remember years ago when I almost purchased a vacation condo in Whistler. With the benefit of hindsight and the impact of the 2010 Winter Olympics it would have been a fabulous investment.  The sale of this property would have produced a routine capital gain in Canada (sales price less adjusted cost base and selling … Continued

A Surprise for a Cross-Border Investor

I have been practicing US taxes for over forty years. While I believe I am quite knowledgeable in US taxes, I realize there will always be those who know more than I know.  I have been practicing Canadian taxes for a much shorter period of time, so most of my colleagues north of the 49th … Continued

Is There a Time-Bomb Hiding Under Your Green Card?

The United States is one of two countries in the world that subject their citizens to tax on their worldwide income, no matter where they reside. Most other countries tax individuals based on residence – they are no longer subject to tax when they no longer reside in that country. This is a very simplistic … Continued