1. Sprinkling income using private corporations: The government wants to tighten rules to prevent a business owner from unfairly transferring income to family members who are subject to lower personal tax rates. In certain circumstances, owners would have to demonstrate that wages and dividend payments are “reasonable.”
   
2. Multiplying the Capital Gains Exemption: When an individual sells a small business, the first $850,000 of capital gain is exempt from taxes. The government wants to prevent tax planning structures that enable multiple family members to use their exemptions. 
   
3. Reducing the tax deferral advantage on portfolio investment inside a corporation: Currently, an owner can accumulate portfolio earnings inside a corporation and pay corporate income tax rates (which are generally much lower than personal rates). The owner defers paying personal income or dividend taxes until the money is taken out of the business. The government is considering alternatives that would reduce this tax advantage.
   
4. Converting a private corporation’s regular income into capital gains: Income is normally paid out of a private corporation in the form of salary or dividends that are taxed at the owner’s personal income tax rate. In contrast, when a business is sold, it is taxed as a capital gain, where only one-half of capital gains are included in income, resulting in a significantly lower tax rate on income that is converted from dividends to capital gains. The government wants to tighten the rules to prevent certain tax planning structures, but it is open to more favourable treatment for genuine family business transfers.
   

If your home or cottage experienced damage due to the recent flooding, you may be eligible for property tax relief from the Township. Section 357 of the Municipal Act, 2001, as amended, allows applications for tax adjustments for structures that are damaged and substantially unusable; or if repairs/renovations to the structure are preventing normal use and will take in excess of 90 days to complete.

The deadline to apply for the 2017 tax year is February 28, 2018.

We would like to welcome the new owners of PetValu Haliburtion Dale and Joanne Orleck. PetValu has been a member of the chamber since 2015 and we are thrilled that they are continuing with us!

The Tourism Team is looking to expand the videos on their YouTube channel.  They are looking for videos from across the County (showing a variety of experiences, locations, food, activities, etc.) to be included on the #MyHaliburtonHighlands channel: 

 https://www.youtube.com/channel/UCv8n0hFwBdgefQA-mPSd6xA

For details on how to send, email Amanda Virtanen

We'd love to share your news! Send it to us at [email protected]