What is the most tax-efficient way to withdraw money from a corporation? It’s a straightforward question with a not-so-simple answer. From salary vs dividends to shareholder loans and capital dividend accounts, there are many ways to structure your withdrawals. Our latest article takes a look at some of the most commonly used methods and discusses the tax implications of each.
A well-designed holding company can allow tax-efficient wealth extraction, protect assets, and simplify succession planning. When structured appropriately, a Holdco provides significant tax, legal, and financial advantages. This article explores the tax benefits of holding companies in Canada, with a focus on practical considerations for small and medium-sized enterprises (SMEs).
For Canadian private corporations, the Capital Dividend Account (CDA) is a powerful tool for financial planning and tax optimization. It allows surplus funds to be extracted from a corporation in a tax-efficient manner and can help transfer wealth as part of a comprehensive estate plan. To learn more about the CDA, from common uses and benefits to calculating and paying capital dividends, read our comprehensive guide here.
Idle assets create ongoing costs (storage, insurance, maintenance) and can obscure the true picture of capital tied up in a business. Deciding whether to sell, store, or write off that equipment is both an operational and an accounting decision. To learn more about unlocking value in idle assets, including how to effectively identify and catalogue your depreciable property, read our complete guide here.
Expanding your business operations into Canada can unlock numerous strategic advantages, from lucrative North American market access to a sophisticated, growth-friendly economy. In Part Two of our series, we answer questions on a range of issues and topics related to doing business in Canada, including tax implications, import/export regulations, tax treaties and the Investment Canada Act. Learn more here.
Canada attracts organizations from around the world seeking to establish or expand their operations internationally. But navigating Canada’s business environment as a foreign investor requires clarity on key foundational issues. To help international investors decide whether Canada is the right choice for their business, we’re addressing the most frequently asked questions about doing business in Canada.
