investment income Tag

What is the investment income of CCPC? Investment income includes income from property such as rental income, interest income, dividends, and royalties. Rental income can be either business income or investment income depending on the situation. Corporation tax rates are lower in Canada as compared to personal income tax rates. Corporate tax rates are further lowered for Canadian Controlled...

If you are generating gains or losses from the sale of securities, this is most likely to be treated as Capital gains. However, in certain cases, this might be treated as business income (or loss) as well. This post is for general information and written from the perspective of personal income tax returns. Further, this is for general information purposes and should not be relied on as...

In recent days, we have received a couple of inquiries from our blog subscribers and readers about the foreign rental income of Canadian residents. This post is for general information purposes and cannot be relied on to make any actionable decisions. It is always smart to contact professional individual tax preparation services in Canada. This post focuses on rental income from foreign...

Dividends are paid from the after-tax income of the corporations to shareholders. Whether you want to withdraw the salary from your corporation or pay dividends to yourself, it depends on a specific tax situation. Whether you are opting to withdraw salaries or dividends from a Canadian Controlled Private Corporation (CCPC), because of the integration principle of Canadian tax system taxes...

Contributing to a Registered Retirement Savings Plan (RRSP) is a great way to grow your savings in a tax-deferred environment. Whatever income earned inside the RRSP is not taxed. You don’t have to worry if you could not contribute to RRSP during the calendar year ending on December 31. You still have two months after the year-end to make contributions and still claim the deduction in the...

If you are an owner-manager of a Canadian Controlled Private Corporation (CCPC) you can use certain tax planning strategies to optimize both personal taxes and corporation taxes in Canada. You should always exercise caution while using the below options since there are other factors involved which may impact your tax outcome. Some of the options which are available to owner-manager or...

Crypto-currencies like Bitcoin, Etherium and Ripple are gaining traction as alternative forms of payment. You can now even use crypto-currencies to buy regular stuff with brands like Dell, eBay and PayPal accepting payments in Bitcoin. Many people invest in crypto-currencies in the hopes of capital gains. For example, the value of Bitcoin grew by approximately 700% between January 2017...