On February 27, 2018, the Liberal government tabled the Federal Budget in a speech by Finance Minister, Bill Morneau.
Members of Richardson GMP’s Tax & Estate Planning Team attended the budget lock-up in Ottawa and have prepared a special report, summarizing the announced tax changes. The budget focused on the much discussed tax changes to passive investments held by corporations, the taxation of cannabis and changes to trust reporting including impacts on the privacy currently enjoyed by beneficiaries of trusts in Canada.
- Taxation of passive investments held by corporations
- Amendments to the current refundable tax regime
- Increased transparency through new trust reporting rules
- Cannabis taxation
- Personal tax measures
- Reporting changes and further exposure for taxpayers with offshore investments
What did not change in this budget?
- Income tax rates
- Capital gains inclusion rates
- Capital gains exemption rules
- Surplus stripping rules