Davidow & Nelson Blog

A Taxable Benefit?: MEAL REIMBURSEMENTS

In June 10, 2016 French Technical Interpretation, CRA commented on whether an employer had conferred a benefit to an employee where the employee was reimbursed for their meal expenses.Generally, an employee must include the value of any benefits received or enjoyed in their taxable income. CRA normally considers a taxable benefit to be conferred when: the benefit provides an economic advantage to the employee; the… Read more »

Requirements for Deduction: EMPLOYMENT EXPENSES

In a May 26, 2016 Technical Interpretation, CRA summarized the conditions that must be met in order for an individual that earns employment income to deduct employment expenses. Deductible expenses are limited to only a select group described in the Income Tax Act.Generally, an employee may deduct costs of employment related expenses if: under the contract of employment, the employee… Read more »

Changes to Reporting: PRINCIPAL RESIDENCE EXEMPTION (PRE)

On October 3, 2016, Minister of Finance Bill Morneau announced a number of measures to address perceived abuses of the PRE. The PRE essentially allows gains experienced upon the sale of a principal residence to be tax free. Here are some of the major changes.Reporting the Sale of a Principal Residence While the legislation has always… Read more »

TAX TICKLERS… some quick points to consider…

A review of the Income Tax Act is to be completed by June 30, 2017. The Federal Government has noted it plans to implement initiatives aimed at simplifying the system. Does your corporation make sales to other corporations in which you or another relative has an interest? If so, your access to small business tax rate… Read more »

Finding What You Thought Was Lost on the Internet: WEBSITE HISTORY

Webpages are constantly evolving. An individual may wish to see the history of a certain webpage for any number of reasons.Without a webpage or website self-reporting the changes made, identifying them can be difficult. However, there are a number of tools available on the Internet that may be useful in piecing together a webpage’s historical… Read more »

GST/HST and Other Tax Issues: PERSONAL USE ASSET IN A CORPORATION

A number of issues may arise if a shareholder uses a corporate asset personally without providing the corporation with fair market value (FMV) consideration. Barring a special relieving provision of the Act, the shareholder may be subject to a shareholder benefit, essentially resulting in double tax. Another issue that may arise relates to GST/HST. This… Read more »

Registration for GST/HST: UBER DRIVERS

Most businesses must register for a GST/HST account (and therefore collect and remit GST/HST as appropriate) if they earn revenues from worldwide taxable supplies greater than $30,000 within the previous four consecutive quarters, or exceed the $30,000 threshold in a single calendar quarter. However, a special rule applies to self-employed “taxi businesses” which requires them… Read more »