Archive for Category: Tax Planning & Minimization

A Man Glancing Out the Airplane Window

Guide To Canadian Tax Rules on Benefits Arising from Use of Corporate Assets (Money, Trips, Boats, Cars, Space Trips etc.), Tax Lawyer Explains

Introduction Business owners are often tempted to dip into the corporation’s pockets to pay for personal expenses. A temptation which seems like a relatively insignificant transgression but in reality, is a decision that can create dire tax consequences. A corporation paying amounts for a purpose other than earning income...

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Person Holding Covid Sign With Yellow Caution Tape

CRA Cancels CERB, CRB Debts of $246 Million of Canadian Taxpayers Who Were Ineligible to Receive COVID-19 Benefits

The CRA reversed $246 million in COVID benefit debts after taxpayers challenged their decisions The Canadian government has had to annul debts totalling over $246 million for numerous citizens initially deemed ineligible for pandemic benefits. Since 2022, the Canada Revenue Agency (CRA) has been reclaiming funds from individuals who allegedly...

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A Cardboard with Inscription that says donation, with food donations surrounding it.

Can Donations to a Charity be Claimed as a Business Expense? When can You Deduct Expenses Under the Canadian Income Tax Act?

Introduction – Tax Exemptions for Charities To promote philanthropic ventures, the Canadian income tax regime offers generous tax benefits for people and organizations engaging in charitable activities. First, under the Canadian Income Tax Act, an organization that maintains registered charity status is tax-exempt on any income it receives. An...

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Picture of Buffalo Trace Distillery

SRED tax credits (Scientific Research and Experimental Development) upheld by Tax Court of Canada against Canada Revenue Agency, in Canafric Inc. v. The King 2023 TCC

Introduction – Research and development tax expenditures and credits The rules regarding SR&ED claims are set out in various parts of the tax act. Section 37 allows for the deduction of SR&ED expenditures while section 127 allows for taxpayers to claim ITCs for SR&ED.  Through amendments in 1944 to...

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The Tax Court of Canada Rules That Post-Doctoral Fellows are Not Employees of the University in The University of New Brunswick v. The Minister of National Revenue

In The University of New Brunswick v. The Minister of National Revenue, 2023 TCC 72, (U.N.B v. M.N.R) the University of New Brunswick (the “University”), appealed a decision of the Canada Revenue Agency (“CRA”), that classified a post-doctoral fellow (“post-doc fellow”) as an employee of the University. The CRA...

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