Dates and location
Pricing
Hours
Dates and location
Pricing
Hours
Description
This course covers the tax benefits of income splitting, provides a detailed review of relevant income tax legislation, including the expanded TOSI rules, and reviews remaining opportunities to accomplish income splitting. Participants will have an opportunity to apply the tax legislation to various examples/case studies, to simulate practical real-life situations.
Families that function as a single economic unit can benefit from tax savings if income can be taxed in the hands of lower-income family members. This is referred to as income splitting. The Income Tax Act contains several measures related to income splitting; and while some are permissive, most are restrictive. The latest of these - the expanded Tax on Split Income” ("TOSI") rules - became effective in 2018, and their implications are far-reaching and punitive. Consequently, many former structures and plans will no longer achieve the intended results and may trigger adverse income tax consequences. In addition, some situations may be caught when income splitting was not an objective.
Topics Include:
- Introduction/overview of income splitting
- Traditional rules that impede income splitting
- Existing rules that specifically allow income splitting
- Expanded Tax on Split Income ("TOSI") legislation
- Examples for application of the expanded TOSI rules - fundamental and advanced
- CRA commentary on expanded TOSI legislation
- Strategies for successful income splitting
NOTE: No updates or changes were made to the 2023 version of this course. If you completed the course in 2022, please be advised the 2023 course material has not changed. If you have any questions, please contact pdevents@cpaontario.ca.
Key Takeaways
By the end of this course, participants will be able to:
- Apply various "traditional" rules in the Income Tax Act that operate to specifically allow or prevent income splitting.
- Apply the recently-expanded Tax on Split Income ("TOSI") legislation to different situations.
- Identify former income splitting techniques that no longer achieve intended results.
- Recognize new potential strategies for income splitting.
Who Will Benefit
CPAs — with a solid knowledge of income tax basics — who advise individuals, professionals or business owners on matters related to income splitting.
How to Access the Course
To access the course please visit our BlackBoard site, and log-in using the same login and password used for the Registration Portal.
Please allow up to 15 minutes after registration for the course to appear on your BlackBoard page.
Registration, cancellation, withdrawal and all other CPA Ontario PD policies can be found here.