Insurance is complex enough – what happens when it intersects with our tax system? We have good news… Under the Excise Tax Act, insurance is a financial service, making it exempt from GST. If we only had to address the GST, this would be a simple, short article. However… And we have bad … [Read more...]
About Hugh Neilson
The Art of Canadian Taxation
Jean-Baptiste Colbert said, “The art of taxation consists in so plucking the goose as to procure the largest quantity of feathers with the least possible amount of hissing.” I suspect that this is the closest that most would equate tax and the arts. But the arts provide the livelihood of … [Read more...]
Working from Home: Income tax issues
UPDATE FROM THE AUTHORS In the November 30, 2020 Economic Statement, the Government announced the following relief for Canadians working from home during the pandemic: To simplify the process for both taxpayers and businesses, the CRA will allow employees working from home in 2020 due to COVID-19 … [Read more...]
Shared Custody Parenting: Income Tax Issues
Since the introduction of the Federal Child Support Guidelines (FCSG) in 1997, custody arrangements have affected child support obligations for Canadian parents. The greatest flexibility applies to “shared custody” situations. Under the FCSG, a child is in shared custody where each parent “exercises … [Read more...]
Travel and Taxation
In his 1966 song “Taxman”, then-Beatle George Harrison sang the line “if you drive a car, I’ll tax the street”. While that may exaggerate our tax system, taxation of travel takes many forms. One form of travel taxation is via road tolls. Highway 407, Ontario’s only Express Toll Route, is not … [Read more...]
Tax Treaties
The Canadian income tax system can be complex by itself. The complexities expand significantly where the tax systems of other countries are also relevant. Most nations have a network of “Income Tax Conventions”, more often referred to as “Tax Treaties”, to govern the interaction of their tax … [Read more...]
Death and Taxes – When the Certainties Collide
As the cliché goes, the only certainties in life are death and taxes. When the former occurs, the Personal Representative(s) (formerly known as the Executor(s)) of the Estate must address the latter. Taxes become more complex in the year of death, and the period of Estate administration. This … [Read more...]
Taxes? Reasonable?
Although many Canadians may disagree when reading various media reports or when filling out their own returns, the government and the Department of Finance generally consider our tax system to be reasonable. The term “reasonable” shows up with surprising frequency in our tax legislation and … [Read more...]
Paying Other People’s Taxes
Keeping up with our tax obligations is challenging when times are good, and even more so when the economy turns. Painful though it is to manage our own tax obligations, becoming liable for taxes actually payable by other people can cause even greater distress. The Canada Revenue Agency (CRA) has … [Read more...]
Is Good Luck Taxable?
Easy Money There seem to be plenty of opportunities to win – big and small – in our lives, from lotteries to radio contests to a friendly wager with a friend. Whether it’s $10 on who wins the golf game, or $10 million from the lottery, does the tax man share in our good fortune? In Canada, the … [Read more...]
