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18 December 2017

Canada's Finance Minister releases revised income splitting measures

Federal Finance Minister Bill Morneau released new draft legislation on December 13, relating to income sprinkling. Consistent with the July 18 proposals, the new draft legislative proposals will extend the Tax on Split Income (TOSI) to individuals aged 18 and over. The revisions contain simplifications and address certain feedback concerns associated with the July 18 proposals, but parts of the revised draft legislation are quite complex. Some existing or proposed arrangements may continue to be effective, while others are now restricted.

A Tax Alert prepared by Ernst & Young Canada, and attached below, provides additional details.

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ATTACHMENT

Full text of Tax Alert 2017-2135

Document ID: 2017-2135

 

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