Starting a Business? The Canada Business Network provides a number of tools, checklists and services to help.

STARTING A BUSINESS – SOME CHECKLISTS

The Canada Business Network, a Government organization which strives to promote entrepreneurship, provides a number of services to assist businesses during the typical life cycle, from planningstarting and financingmanaging, to growing and eventually transitioning or selling one’s business.

Some particularly interesting tools and resources found on their website include:

  • search feature to find programs which help finance businesses in the form of grants, wage subsidies, loans, investment capital, and other support. Additional commentary and resources on types of financing

  • Checklists to assist with starting a business in certain industries (such as child care, cleaning, event and conference planning, operating a food truck, landscaping and snow removal, mobile pet care, personal care services, senior care, specialty trade contractor, and store retailer).

  • permit search to determine required permits for starting, operating or expanding one’s business.

  • Sample business templates, tips and considerations.

  • Market research and statistics, including information on labour and employment data, demographics, the Canadian economy, international markets, and the environment.

For further information see Video Tax News Monthly Tax Update Newsletter, Issue No. 440


Watch Amanda Doucette Discuss Taxpayer Relief and When It May Be Appropriate to Assist Taxpayers

Watch Amanda Doucette of Stevenson Hood Thornton Beaubier LLP and Caitlin Butler of Video Tax News discuss the taxpayer relief provisions.  And, if this relief is not available, what other options may exist.

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Recorded September 19, 2018

This video is for general information purposes only and deals with dynamic, time-sensitive and complex matters that may not apply to particular facts and circumstances. The information provided should not be relied upon as a substitute for specialized professional advice in connection with any particular matter. For more information visit videotax.com/disclaimer. ©Video Tax News Inc. 2018, All Rights Reserved.

 

 

Watch Larry Nevsky of Dentons Canada LLP Discuss Active vs. Passive Income and the Gagliese Case

Watch Larry Nevsky of Dentons Canada LLP and Joseph Devaney of Video Tax News Discuss Active Vs. Passive Income and the Gagliese Case.

Sources:

Recorded August 20, 2018

This video is for general information purposes only and deals with dynamic, time-sensitive and complex matters that may not apply to particular facts and circumstances. The information provided should not be relied upon as a substitute for specialized professional advice in connection with any particular matter. For more information visit videotax.com/disclaimer. ©Video Tax News Inc. 2018, All Rights Reserved.

 

 

Life in the Tax Lane - October 2018 (Episode 41)

This FREE 10-minute video for Canadian Tax Professionals includes rapid-fire discussion of select recent developments in the wonderful world of Canadian tax presented by the Video Tax News Team. 

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Life in the Tax Lane is for general information purposes only and deals with dynamic, time-sensitive and complex matters that may not apply to particular facts and circumstances. The information provided should not be relied upon as a substitute for specialized professional advice in connection with any particular matter. For more information visit videotax.com/disclaimer. ©Video Tax News Inc. 2018, All Rights Reserved.

Is Cash an Active Business Asset? CRA provides a number of factors to consider.

IS CASH AN ACTIVE BUSINESS ASSET?

In a January 25, 2018 Technical Interpretation (2017-0717561E5, Doiron, W.), CRA was asked whether cash held by a corporation would be considered “used in an active business”.

The determination of whether cash or near-cash assets are used in an active business is also a question of fact. CRA offered the following general views:

  • If the withdrawal of the cash or near cash property would destabilize the business, this indicates it is used in the business.

  • Cash which is temporarily surplus to business needs, and is invested in short-term investments, may be considered used in the business.

  • Cash balances which accumulate and then are depleted due to annual seasonal fluctuations of an ongoing business will generally be considered used in the business.

  • permanent cash balance in excess of reasonable working capital requirements would generally not be used in active business.

  • Accumulation of funds in anticipation of purchase or replacement of capital assets, or repayment of long-term debt, will not generally qualify the funds as being used in the business.

  • Prudent financial management requires maintaining current assets (including inventory and accounts receivable, in addition to cash and near-cash assets) in excess of current liabilities, and this could support the use of cash in an active business; however, this would not include cash held to offset the non-current portion of long-term liabilities.

  • Where cash or near-cash assets fulfill a business requirement (e.g. certificates of deposit a supplier requires be maintained), such property would be used in the active business.

CRA stressed that these views were general in nature, and all relevant facts and circumstances must be reviewed for any specific situation, including the actual use of the cash, the nature of the business, and ordinary practice in the particular industry.

For further information see Video Tax News Monthly Tax Update Newsletter, Issue No. 440