Probate-related questions are among the most common questions heard during estate planning discussions. What is probate? Can it be avoided? Should it be avoided? As an advisor, it’s important to be able to answer those questions.
One effective way to use a trust structure to minimize tax for an estate and its beneficiaries is to income-split by using multiple trusts in a will.
Here’s how to use an inter vivos trust (a trust created while the donor is alive to hold property for the benefit of others – usually family members) for income splitting.
Reader Alert: This is a follow-up story to ‘Puppet Trustees’ Get a Second Chance. Two lower court rulings in the Garron Family Trust et al. v. The Queen case established central management and control of trust assets, rather than the residence of trustees, as the key test for determining the residence of a trust. That […]
The practice of sheltering income from Canada’s tax man by setting up what amount to nominal trustees in a tax haven like Barbados was dealt a severe blow in a recent court case. But the Supreme Court of Canada has decided to hear the case anew, a decision that may breathe new life into a […]
Trusts are among the most effective estate planning tools. They have been a staple of estate planning in the common law world for centuries because of their unique structure and flexibility. Trusts have remained relevant because they easily adapt to various social and cultural changes. Originally created to address land ownership issues, today trusts are well suited to address significant taxation of income, complex family structures and a desire to protect vulnerable family members.
Despite dire warnings in the press that Canada’s pension plans are set to implode, one of the country’s most respected actuaries says the problem isn’t really that bad. In fact, Canadians are in an enviable position compared to most other countries. “It’s a truth universally acknowledged that Canada has one of the best retirement systems […]
Our agency recently won two contests, separately held by two large insurance companies. Both awards, based on productivity levels, included lavish holidays or conference trips worth thousands of dollars. Unfortunately, because of time constraints, we were unable to take advantage of either. One of the insurance companies, understanding the reason we couldn’t attend, uncharacteristically doled […]