Drive With Caution

By Andrew Keller,
Kenway Mack Slusarchuk Stewart LLP

Accountants have been reminding their clients to maintain an auto mileage log to track the personal and business use of a vehicle, yet how many do?  Canada Revenue Agency ("CRA") requires the mileage log for many different purposes, including determining taxable benefits for standby charges and operating costs, capital cost allowance classification and deductibility of automobile costs for a business.

In the course of an audit, if no mileage log is provided, CRA is left to make assumptions...

Tax Memorandum on GILTI

By Denis Dompierre CPA, CGA M. Fisc,
Tax Manager, Levy Pilotte

This tax memorandum is of interest to US citizens living abroad and is mainly directed toward US citizens living in Canada.

The 2017 US tax reform introduced the Global Intangible Low-Taxed Income regime (GILTI).

In summary, US citizens who are shareholders of certain Canadian corporations, may be subject to US income tax, if the corporation's income is more than an arbitrary 10% return on its tangible depreciable capital assets....

Small Business Investor Tax Credit

By Jeff Saunders, CPA, CA,
Tax Partner, Teed Saunders Doyle, Fredericton, NB

Many provinces across Canada offer a significant tax credit to investors in small businesses as an incentive to encourage investment in this essential part of our economy. The name of the tax credit and the specific criteria and rates vary from province to province. However, in the provinces that do offer this type of tax credit, it can lead to substantial tax savings for investors. ...