Incorporating a farming partnership can be beneficial for several reasons, including the potential to benefit from using the partners’ capital gains exemptions with proper tax planning. For farmers who operate as sole proprietors, there is no need to worry, as it is often possible to restructure your proprietorship into a partnership with your spouse, a […] Read more
Garrett Leedahl
Stories by Garrett Leedahl
Tracking the history of farming property is important
The Income Tax Act contains advantageous rules that are specific to farmers. Two of the most well known are: The intergenerational rollover that allows parents to transfer certain qualifying farm property to their children on a tax-free basis. The $1 million lifetime capital gains exemption that can be used to offset a capital gain that […] Read more
Excess cash can be tax problem for farming corporations
Having lots of cash is never a bad thing and can sometimes be hard to imagine after a very challenging year like 2021. However, for the purposes of the Income Tax Act, having too much cash inside of a farming corporation can be a problem and can result in the loss of certain tax benefits. […] Read more
Unanimous shareholders’ agreements help succession
An often-overlooked component of a business owner’s estate plan is a unanimous shareholders’ agreement. A USA can be a useful tool for estate planning purposes, especially in the context of the succession of a family farming corporation. Generally, a USA is an agreement that governs the conduct of a corporation and its shareholders. USAs can […] Read more
