Carbon tax -- yay or nay? ---- Carbon pricing has been fully exposed as just another tax grab https://t.co/nduZmGlRpE
New Rules on Passive Income to Affect Only 3% of Corporationsin Canadian Government News and Updates
In his statement in New Brunswick, the Finance Minister said that the Government will ensure that a $50,000 threshold on passive income in a year which is equivalent to $1 million in savings based on a nominal 5% rate of return will be made available to provide more flexibility for business owners to hold savings for multiple purposes. The Finance Minister further adds that this $50,000 threshold is an amount that is exceeded only by about 3% of corporations – meaning 97% of Canadian private corporations will not be affected by the proposed new rules on passive investments.
As for other proposed tax measures, the Government has also announced that it will simplify the proposal to limit the ability of owners of private corporations to lower their personal income taxes by sprinkling their income to family members who do not contribute to the business. Also, the Government has decided not to move forward with the proposed measures relating to the conversion of income into capital gains.
Source: http://www.fin.gc.ca/n17/17-100-eng.asp, http://www.taxtips.ca/federalbudget/budget-2017.htm#income-sprinkling