Tax consequences of immediate business succession

Gain practical knowledge you can use to advise clients who are dealing with the short-term tax consequences of the sale of business ownership.

Event Details

Location and date:
Online On-Demand Event

Business succession simply refers to passing the ownership of a business from one set of hands to another.

This course deals with the immediate or near-immediate sale of business assets or shares in a corporation where the disposal occurs in a single transaction or a group of transactions. It provides a practical overview of the tax consequences, with a focus on small businesses with one owner-manager or small groups of shareholders.

This course has been approved by the Financial Planning Standards Council.

View Table of Contents

Additional options and pricing may be available. See pricing and registration for more details.



$295.00

7 CPD hour(s)
Pricing & registration

You will learn about:

  • the purchase and sale of assets, including section 84.1
  • the sale of shares, including capital gains deductions
  • intercorporate dividends and capital gains avoidance
  • sale of shares to family members
  • financing and other considerations

We thank Bruce Reed, CPA, CGA, for his review of and invaluable contribution to this course. Bruce obtained his designation in 1984. He has obtained extensive tax experience over his 34 years with the Canada Revenue Agency and is now in public accounting as a senior tax manager.

Who should attend?

  • income tax consultants
  • sales tax consultants
  • financial planners

More Details:

Session Descriptions

Module 1
• The purchase and sale of assets
• Non-depreciable capital property
• Depreciable property
• Eligible capital property
• Inventory
• Accounts receivable
• Prepaid expenses
• Allocation of purchase price
• Putting the sale proceeds in the hands of the shareholder
• Other matters

Module 2: Sale of shares, including the capital gains deduction
• Overview of a share sale
• Overview of the lifetime capital gains deduction
• Qualified small business corporation shares

Module 3: Subsection 55(2) - Intercorporate dividends and capital gains advoidance
• The application of subsection 55(2)
• The paragraph 55(3)(a) exception
• Purifications
• Safe income stripping
• Butterfly transactions
• Knowing when subsection 55(2) applies

Module 4: Sale of shares and section 84.1
• Transferring shares to family members
• Section 84.1
• Sale to employees
• Acquisition of control

Module 5: Financing and other considerations
• Interest deductibility
• Instalment sales
• Earnouts
• Non-competition agreements
• Other considerations on the purchase and sale of a business
• Abbreviations

Speakers/Presenters

Contacts

Please contact:

CPA Canada Professional Learning and Development Customer Service
Tel: 1-888-337-3242
Email: pld@cpacanada.ca

Highlights

Gain practical organizational insights and learn from industry experts at this annual event for not-for-profit financial leaders.