Tax Talk Tribune 2024 – Edition No 2.

Author: Darren Bruce, CPA, Professional Corporation | | Categories: Accounting , Bookkeeping , Chartered Accountant , Financial Accountant , Financial Planning , Tax Planning , Tax Preparation

Tax Talk Tribune 2024 – Edition No 2.

Tax Tidbits

  • Taxpayers can register for the CRA’s My Account and get immediate access rather than waiting for a security code by mail.
  • A portion of the federal carbon tax will be returned to Canadian-controlled private corporations (CCPCs) with fewer than 500 employees who file their 2023 tax return by July 15, 2024. The automatic rebate, based on the number of employees, will be paid to CCPCs in AB, SK, MB, ON, NB, NS, PEI and NL without needing an application.

Capital Gains Inclusion Rate: Proposed Increase.

The 2024 Federal Budget proposed to increase the capital gains inclusion rate from 50% to 2/3 of the actual gain, effective for capital gains realized on or after June 25, 2024, for all taxpayers (including corporations and trusts) other than individuals. Individuals would be able to continue to access the 50% rate on the first $250,000 of capital gains (net of gains offset by capital losses, the lifetime capital gains exemption, and the proposed employee ownership trust exemption and Canadian entrepreneurs’ incentive) realized annually. An individual’s capital gains over the annual $250,000 limit, and all capital gains of corporations and trusts would be included at the 2/3 rate. Full details of the proposal have not yet been released (as of May 13, 2024).

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