We have been advised that fraudulent emails and faxes regarding unclaimed insurance money have been received by members of the public from a source claiming to be Aird & Berlis LLP. These communications are not from Aird & Berlis LLP. Disregard them and do not engage with the sender in any way. Please report the attempted fraud by contacting the Canadian Anti-Fraud Centre.

Back to all news
Nov 28, 2018

Important Amendments to the Income Tax Act re RDTOH

Recent amendments to the Income Tax Act (Canada) have made fundamental changes to the refundable tax regime applicable in respect of Canadian-controlled private corporations (“CCPCs”) for taxation years of CCPCs that begin after 2018. CCPCs are required to pay a refundable tax of 38 1/3% on investment income (“RDTOH”). The RDTOH is refunded to the CCPC when it pays taxable dividends to its shareholders.

For taxation years of a CCPC that begin after 2018, not all taxable dividends paid by the CCPC will give rise to a refund of RDTOH. There is grandfathering in some cases.

Taxpayers who own shares in such a CCPC through one or more other CCPCs or private corporations should assess whether steps need to be taken before the end of the current taxation year to maximize the amounts that are grandfathered and therefore improve the CCPC’s tax position.

If the foregoing may apply to you, you should contact your tax advisor to determine what steps, if any, can be taken so as to maximize any grandfathering. Please feel free to contact a partner in the Aird & Berlis Tax Group for assistance.

Areas of Expertise

Most Recent News

News Firm News
Jeffrey Merk Appointed an Officer of IBA Professional Ethics Committee Jeffrey K. Merk Jan 01, 2016 Congratulations to Jeffrey Merk on being appointed an officer of the International Bar Associatio... Congratulations to Jeffrey Merk on being appointed an officer of the International Bar Association's Professional Ethics Committee.
News Firm News
Introducing A&B's New Intellectual Property Team Members R. Grant Cansfield, Ken Clark, Timothy M. Lowman, Lola A. Bartoszewicz, PhD, Kimberly A. McManus, PhD, Kitt Sinden, M.Sc., Erica L. Lowthers, PhD and SuMei Cheung, P.Eng. Dec 21, 2015 Aird & Berlis LLP is pleased to introduce the newest members of our expanded intellectual pro...

Aird & Berlis LLP is pleased to introduce the newest members of our expanded intellectual property practice.

News Firm News
A&B’s Municipal & Land Use Planning Group is Number One! Dec 18, 2015 Congratulations to our Municipal & Land Use Planning Group for once again making Aird & B... Congratulations to our Municipal & Land Use Planning Group for once again making Aird & Berlis LLP the top firm in Novae Res Urbis’ (NRU) annual rankings of land development law firms in Toronto.