scholarly journals Personal Tax Planning: Getting a GRIP on New Passive Investment Rules and Integration

2019 ◽  
Vol 67 (4) ◽  
pp. 1267-1285
Author(s):  
Dino Infanti ◽  
Deepk Jaswalr ◽  
Sonam Toor
Keyword(s):  
Small Business ◽  
Federal Budget ◽  
Tax Planning ◽  
Tax System ◽  
Corporate Group ◽  
Investment Income ◽  
Private Corporations ◽  
Deduction Rules ◽  
Dividend Tax ◽  
Personal Tax

This article discusses integration in the Canadian tax system and describes how legislation originating from changes announced in the 2018 federal budget affects Canadian-controlled private corporations. The authors point out that refundable dividend tax on hand is now split into two pools, one for eligible refundable dividend tax on hand and one for non-eligible refundable dividend tax on hand. As well, the authors discuss two recent changes to the small business deduction rules: (1) the reduction of the small business deduction where passive investment income exceeds a specified limit and (2) the expanded application of the rules for sharing the small business limit among corporations within a corporate group.

OPTIMIZATION OF THE SMALL BUSINESS TAX SYSTEM

2020 ◽  
Vol 5 (86) ◽  
pp. 160-169
Author(s):  
M.K. Chistyakova ◽  
◽  
◽  
Keyword(s):  
Small Business ◽  
Small Businesses ◽  
Tax Planning ◽  
Small Enterprise ◽  
Tax System ◽  
Dominant Position ◽  
Legal Norms ◽  
Tax Regimes ◽  
Or Organization ◽  
Future Business

The article discusses the principles and systems of taxation for small business. Today, that choice of special tax regimes is relevant, in which an entrepreneur or organization must calculate the total tax burden in accordance with various economic indicators of activity, taking into account all the nuances and prospects for future business development. Small business is a sector which favorable development is extremely important for determining the rate of economic growth of the national economy, the level of employment, the quality and structure of the gross national product. The development of small businesses largely depends on the domestic and foreign policy of the state. In modern conditions, a small enterprise is a small firm managed by an independent owner. Also, this company does not occupy a dominant position in the market in its industry and meets certain legal norms, criteria for the number of employees who work for the company during the reporting period and the income that it receives. The article considers the current criteria for determining organizations and classifying them as small businesses. The object of taxation, and in this case small business, determines the appropriate special regimes. The paper proposes tax planning using the method of tax express analysis using analytical indicators. In conclusion, we describe the analysis of tax risks that are necessary for effective tax planning of the small business. In general, the study suggests optimizing the tax system for small business in order to develop it effectively

Taxes as a Determinant of Managerial Compensation in Privately Held Insurance Companies

2001 ◽  
Vol 76 (4) ◽  
pp. 655-674 ◽  
Author(s):  
Bin Ke
Keyword(s):  
Control Sample ◽  
Tax Planning ◽  
Managerial Compensation ◽  
Insurance Companies ◽  
Tax Rates ◽  
Investment Income ◽  
Federal Income Tax ◽  
Planning Decision ◽  
Privately Held Firms ◽  
Privately Held

This study empirically investigates how taxes affect managerial compensation for a sample of privately held insurers whose managers own a large percentage of the firm's stock (I refer to these as management-owned insurers) during 1989–1996. Shareholder/managers receive two types of income from the firm they own: compensation income as employees, and investment income as shareholders. Although compensation income is taxable to employees and deductible by employers, investment income is subject to double taxation. Thus, the mix of the two is an important tax-planning decision for management-owned insurers. I predict and find that as individual tax rates increased relative to corporate tax rates from 1989–1992 to 1993–1996, shareholder/managers paid themselves less tax-deductible compensation relative to a control sample of nonmanagement-owned insurers (i.e., privately held insurers with no managerial ownership). The study's results expand our understanding of management-owned, privately held firms' tax-planning strategies, and have implications for the efficiency of the federal income tax system.

scholarly journals Tax planning in Australia’s income tax system

2020 ◽  
Vol 27 (1) ◽  
pp. 59-83
Author(s):  
Tristram Sainsbury ◽  
Robert Breunig
Keyword(s):  
Income Tax ◽  
Tax Planning ◽  
Tax System

scholarly journals Personal Tax Planning: Income-Splitting Update

2019 ◽  
Vol 67 (1) ◽  
pp. 209-234
Author(s):  
Sean Grant-Young ◽  
Katie Rogers
Keyword(s):  
Tax Planning ◽  
Personal Tax

The impact of a hybrid personal tax system on capital accumulation and economic welfare

1992 ◽  
Vol 36 (4) ◽  
pp. 801-813 ◽  
Author(s):  
Robert A. Androkovich ◽  
Michael J. Daly ◽  
Fadle M. Naqib
Keyword(s):  
Capital Accumulation ◽  
Economic Welfare ◽  
Tax System ◽  
The Impact ◽  
Personal Tax

scholarly journals Personal Tax Planning: Pack Your Suitcase! The Baggage of Canada's Departure Tax

2020 ◽  
Vol 68 (2) ◽  
pp. 661-686
Author(s):  
Sonia Gandhi ◽  
Megan Dalton ◽  
Yooham Jung
Keyword(s):  
Market Value ◽  
Tax Planning ◽  
Comprehensive Overview ◽  
Tax Cost ◽  
Fair Market ◽  
Fair Market Value ◽  
Personal Tax

Canadians who choose to cease their residence in Canada and relocate outside the country may not be aware that their departure can come at a high tax cost. Leaving Canada can give rise to an unexpected and hefty tax bill because Canada imposes a departure tax on individuals who give up their Canadian residence. Relocating Canadians who hold certain assets may be deemed to have sold those assets, at fair market value, at the time of departure. This can give rise to tax even though the assets may not actually have been disposed of. In this article, the authors break through the complexities of Canada's departure tax regime by providing a comprehensive overview of the rules, highlighting key administrative considerations, and identifying planning opportunities to minimize Canada's exit tax.

scholarly journals The Conceptual Principles of Tax Planning of Enterprises in the Context of Fourth Industrial Revolution

2021 ◽  
Vol 4 (519) ◽  
pp. 210-216
Author(s):  
Y. I. Hlushchenko ◽  
◽  
O. O. Korohodova ◽  
T. Y. Moiseienko ◽  
N. O. Chernenko ◽  
...  
Keyword(s):  
Business Processes ◽  
Industrial Revolution ◽  
Financial Economic ◽  
Tax Planning ◽  
Economic Activities ◽  
Tax System ◽  
Fourth Industrial Revolution ◽  
Micro Level ◽  
Definition Of ◽  
The Impact

The authors disclose the essence of tax planning for domestic enterprises in the conditions of development of the economy in the context of the Fourth Industrial Revolution. Foreign experience as to approaches to interpretation of the phenomenon of «tax planning» is studied. It is substantiated that the existing modern approaches to the definition of the term of «tax planning» should be divided by the characteristics of purpose and subordination. The work contains a further elaboration of conceptual-categorical apparatus of taxation theory by closer defining of «tax planning», where, contrary to existing developments, it is proposed to assess the impact of elements of the current tax system on the efficiency of financial-economic activities of enterprises. A theoretical analysis of modern trends of tax planning is carried out and it is determined that the existing conditions of operation of enterprises are such phenomena as: digitalization of economic processes, robotization of business processes, influence of other factors of the Fourth Industrial Revolution and growth of uncertainty and level of risks for economic entities. According to the results of the research, it is defined that all these phenomena will affect the process of taxation of enterprises at the micro level due to the acceleration of data processing processes and changes in tax planning objects. The article explains the directions of further research on this topic, namely, the development of an economic-mathematical model of the influence of elements of the tax system in the context of the trends of the Fourth Industrial Revolution, which becomes relevant in modern conditions of tax planning.

scholarly journals Tax planning as an effective method to reduce the tax burden of organizations in the Russian Federation

2020 ◽  
Vol 210 ◽  
pp. 13007
Author(s):  
Elena Sivolapenko ◽  
Ekaterina Sapozhnikova
Keyword(s):  
Cost Effectiveness ◽  
Economic System ◽  
Russian Federation ◽  
Tax Planning ◽  
The State ◽  
Planning Method ◽  
Tax Burden ◽  
Tax System ◽  
Tax Regimes ◽  
The Russian Federation

Taxes are an integral part of the economic system, not only of any state, but also of each individual organization. The influence of the tax system on the state and development of the economy is an indisputable fact. Tax planning is an effective tool to reduce the tax burden of organizations in the Russian Federation. However, today it is not a recognized method of reducing the costs of an organization, despite its cost-effectiveness, legality and stability. The purpose of this article is to study the tax planning method as an effective tool to reduce the tax burden used by organizations in the Russian Federation. The result of the study is the analysis of the calculations of the tax burden of the organization when applying various tax regimes provided for by the current legislation for individual entrepreneurs.

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