Business and Farm Groups Call To Drop Federal Tax Changes For Small Business.

[perfecho]

It is to get rid of loop holes...the average tax payer wants it....

[LEP]

Perfecho. You better do some reading. They arent changing corporate tax rates. So nothing will change there. But they are changing how the transfer of assets are handled and how income is removed from a corp.

Currently, all income is taxed at similar levels when in the final hands. If you take wages versus dividends when you take into account first corporate tax is paid and then the preferred tax rate in the hands of the dividend recipient. However, if you take wages as a self employed individual you pay both sides of cpp which is an additional $2500ish cost.

But the real hit is when you pass the farm onto the next generation, tax on the capital gain will be due which will likely ensure most family farms end with tge next generational transfer.

So unless a person has been income sprinkling or has sold out they haven't had a teat to suck on.

I am pissed because I have another generation coming along and these tax rules will affect him.

[sumdumguy]

Accountants have loved the corp game.when you consider the double taxation, is it worth it? They gave us a bit of flexibility in the past so the extra tax, accounting fees and bother was worth it but now not so much. Position yourselves to save your ass-ets.

[perfecho]

But isn't income sprinkling and splitting the under lying issue...that is the tit.....and I have used it because its there.....and am ok with it not being there. Will have to talk to accountant about the "passing down".....

[parsley]

I signed this petition.
Anyone who owns land would be wise to sign it.

https://petitions.ourcommons.ca/en/Petition/Details?Petition=e-1239

Pars

[Rareearth]

I got it done

[farmaholic]

Heaven forbid anyone gets ahead in this society without sharing the fruits of their hard work, risk and capital investment. If the "rich" are paying as much as "Joe Average", aren't they paying their own way? If "Joe Average" isn't paying as much as the "rich", maybe Joe isn't paying his way!

The tax rules in this ****ing country are "regressive" not (a) progressive (tax system). Take away the desire and reward to succeed by taking more of the income above average income thresholds from those who have the ambition to get ahead.

I knew someone who figured if they only worked seasonal or part time and got laid off, they'd get all their deductions back through an income tax refund....holy ****, really, you're kidding me--right? Nope. It was a young relative.

[LEP]

I don't use income sprinkling to any great extent. But would like the next generation to not be heavily taxed to start out.

[parsley]

Thanks rare. Farmers must send a voice to Ottawa

if you are limp, capital gains will go. easy cash for The Govt. Available at year end.

Crucial. Don't sit still like a damn pansy.

There are 42K farmers in Saskatchewan alone. Let's all get on the boat and yell with your pen.

Damn it. Do it. pars.

[GDR]

If it looks like these changes are going to go through would anyone rush to transfer land to next generation early to avoid taxation but increase risk of other losses due to divorce, inexperience or bad debts?

Would incorporated farmers unwind their corps and go back to sole proprietors??

I never incorporated yet, have toyed with it for years, partly talked out of it and partly too lazy to get it done.

[Rareearth]

Governments of all size spend trillions on incentives, schooling/education trying to attract industry and business to grow their economy.

Then you have those that doesn't understand the economy and the force the current industry and businesses to move else where.

It's much cheaper, better, many times the spinoff benefits to encourage, develop, motivate and let those that have genuine interest, ability and foresight (locals) do the job right

[Horse]

I don't know the ins and outs of this proposed tax change, but there is defiantly room to close some loopholes, and I would say most on that list are scared shirtless because that's how they make there living by screwing the system,sk3 how much does he write off globetrotting as farm tours, any one with a teacher to pay wages to, he'll she makes more than most farms, the motor home to take meals to field, write off gas to go fishing even booze for entertainment, and the list goes on, but you do have to be in the upper class to benefit from gimmies. As for poor hard workers there are a he'll of a lot of those and most don't farm. If it wasn't a good deal why are drs, dentists, lawyers, hockey players all using the corps to hide behind.

[LEP]

The income sprinkling is fair game. That is a benefit that alot of professionals use.

Personally, a corp has allowed me to grow my farm by alot faster rate because most of what I earn has gone back in to buy land, buildings and equipment which is paid for with 87.5 cent corporate dollars versus 58 cent personal ones. But as things get paid down and I begin to draw the profits from my hard earned labour these dollars become equivalent to 58 cent personal ones.

I also benefited in a corp because my income varied quite alot from year to year and income averaging was taken away on the personal side.

I heard a chartered accountant mention that the government could generate several times more tax revenue by tax defined benefit contributions as they are earned rather than as they are paid out. He also stated that retained earnings in a corp was like a small business persons pension.

Also any investment income is actually better to be earned outside of a corp rather than in because it is taxed at the high rate.

Finally, I find it annoying that the real rich people get all kinds of special treatment , like the Irvings getting a tax bill of $1 billion waived as they moved a pile of assets from Canada to the Cayman Islands when Cretian was in power.

[fjlip]

I don't know the ins and outs of this proposed tax change, but there is defiantly room to close some loopholes, and I would say most on that list are scared shirtless because that's how they make there living by screwing the system,sk3 how much does he write off globetrotting as farm tours, any one with a teacher to pay wages to, he'll she makes more than most farms, the motor home to take meals to field, write off gas to go fishing even booze for entertainment, and the list goes on, but you do have to be in the upper class to benefit from gimmies. As for poor hard workers there are a he'll of a lot of those and most don't farm. If it wasn't a good deal why are drs, dentists, lawyers, hockey players all using the corps to hide behind.

Every write off you list can be done by any farmer/partnership also. Those are NOT Corporate only.

[sumdumguy]

Trudeau will kill this country I see he gave a mosque in newfoundland 46000.00 for security from hate crimes. What a dick head he has lots of money for that kind of stuff but he has yet to give the money he promised to fort mac for the fires last year. This shows where his priorities are and yet there are people so stupid and blinded by ideology that they support this clown (grassfarmer).

What's the deal with his disproportionate love for fringes? Not fridges!