As a consequence of the public’s concern with the overall thrust of the government’s tax law amendments, the 2018 Budget issued on February 27, 2018 has largely eliminated the implementation of the July 2017 proposals. Instead the 2018 Budget contains two specific measures to address the government’s concern with the tax deferral related to investment income in a private corporation.
The federal government is reviewing one of the investment rules that applies to registered pension plan investments. The review is considering both the pension and tax policy rationale for the rule. While the repeal or relaxation of this rule would not impact the majority of Canadian registered pension plans in terms of their actual investments, any changes to income tax rules relating to pension plan investments could have much broader application. If you wish to make submissions to the federal government, they must be submitted by Sept. 16, 2016.
In many small and even medium-sized companies, financial reporting during the year does not include all of the adjustments made at the year-end (often in connection with the audit or review of the annual financial statements by an independent professional accountant).
Established in 1995, First Reference Inc. (known as La Référence in Quebec) provides Canadian organizations of any size with practical and authoritative resources to help ensure compliance.