Tax Law

Netflix and Vaping: Budget 2021 Imposes Indirect Tax Measures

In Budget 2021, the Federal Government proposes a wide array of spending programs and few material tax increases for Canadians. While Budget 2021 may not appear to impose significant direct tax increases, in this article we highlight some of the indirect tax measures that could affect Canadians or even non-Canadians who own Canadian real estate. Unproductive Use of Canadian Housing Budget 2021 proposes a new 1% tax on the gross value of Canadian housing owned by non-Canadians considered to be “vacant” or “underused”. This tax will be imposed annually starting in 2022. More details on this new tax will come…


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Tax Law

Federal Budget 2021: Consumption Tax on Luxury Goods Favoured over Wealth Tax

“It is fair to ask those who have prospered in this bleak year to do a little more to help those who have not. That is why we are introducing a luxury tax.” – Federal Finance Minister, Chrystia Freeland, April 19, 2021. Tax initiatives targeting high-net-worth individuals have been rumoured for almost as long as Prime Minister Justin Trudeau’s Liberal government has been in power. Speculation was further fueled by the Prime Minister’s mandate letter to newly minted Federal Finance Minister, Chrystia Freeland, to “identify additional ways to tax extreme wealth inequality.” That was January 15, 2021. As of April…


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Tax Law

Canada’s 2021 Budget: A Sigh of Relief?

In light of the ongoing COVID-19 pandemic and increased government spending over the last year, tax advisors anticipated that the Federal Government’s 2021 budget (Budget 2021) would include significant tax increases aimed at the wealthiest Canadians who should, in the government’s view, shoulder the financial burden of the pandemic. Instead, Budget 2021 has taken a less obvious approach to achieving its stated objective of fairness in tax policy, focusing its messaging on new or extended spending measures to provide support for families and businesses affected by the pandemic. In the words of Deputy Prime Minister and federal Finance Minister, Chrystia…


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Uncategorized

Do You Need To Update Your Will?

Do You Need to Update Your Will? We often discuss the importance of putting a Will in place. However, in some cases, having an out-of-date Will may be more problematic than not having a Will in place at all. The following example is illustrative. Ali’s Current Will At the time the Will was drafted, Ali was married to Brett. They had two children, Austin (12) and Blake (15). A lawyer prepared mirrored Wills (i.e. two individual, almost identical Wills, where the terms of each Will reflect those of the other). Both Wills have the following terms: ·         The surviving spouse…


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