Canadian Corporation and Capital Gains Changes
So, Monsieur Morneau has announced changes to private corporations and to the capital gains tax - but no real details.
http://www.cbc.ca/news/politics/morneau-tax-change...
I'm assuming this will effect a lot of us here - if not the corporation rules, than at least the capital gains rules. This concerns me:
"Only 50 per cent of capital gains are taxed at a person's federal tax rate. Dividends face higher taxes. This loophole is being widely exploited, officials said, and measures to crack down on this creative tax planning will be included in future legislation, but will be retroactively applied as of today's date."
So as of July 18th, there is a new capital gains structure. I know that serial flippers are generally taxed as income, not capital gains, will this increase the likelihood of this being enforced?
So how does this effect you? Or how do you think it will?