Canadian Income Tax II

Taxation of businesses and their owners in Canada: business structures and CCPC status, computing corporate net and taxable income from the financial statements, Part I tax rates, the small business deduction and the business limit grinds, investment income, refundable taxes, RDTOH, GRIP and capital dividends, integration and salary or dividend remuneration for owner-managers, section 85 rollovers, redemptions, reorganizations and the lifetime capital gains exemption, partnerships, trusts and estates, GST/HST, international business and the global minimum tax, GAAR, TOSI and estate freezes, and corporate compliance, following one invented drone business throughout.

ACCT-352 Year 3 3 credits 12 lessons · 4 h 56 min

Offered by HSM University · Accounting

This is the Canadian version of this course. See the American version.

What you'll learn

Compare the tax treatment of proprietorships, partnerships, corporations and trusts, and explain why CCPC status and integration matter in choosing a structure.
Reconcile accounting income to net income and taxable income for a corporation on Schedule 1, applying CCA, Division C deductions and loss carryover rules.
Compute Part I tax for a CCPC, including the abatement, general rate reduction, small business deduction, additional refundable tax and provincial tax, and apply the association and business limit grind rules.
Apply the refundable tax system, Part IV tax, the RDTOH accounts, GRIP and the capital dividend account to a private corporation's investment income and dividends.
Evaluate salary and dividend mixes for an owner-manager, measuring integration and applying the shareholder benefit and loan rules.
Apply section 85, redemption, section 84.1 and reorganization rules, and analyse share and asset sales including the lifetime capital gains exemption.
Compute partnership income and allocations, a partner's adjusted cost base, at-risk limits, partnership rollovers and reporting obligations.
Explain the taxation of trusts and estates, the flow-through of income, attribution, the 21-year rule, post-mortem planning and trust reporting.
Determine GST/HST obligations, including registration, place of supply, zero-rated and exempt supplies, input tax credits, filing and the quick method.
Explain the taxation of non-residents and of foreign income, permanent establishments, foreign affiliates and the global minimum tax.
Analyse planning, avoidance and evasion, including GAAR, TOSI, estate freezes, mandatory disclosure and the professional duties of tax advisers.
Prepare an owner-managed corporation's compliance calendar and an integrated computation of corporate and personal tax for the year.

Course content

12 lessons · 4 h 56 min total · final exam

1 Business structures and how they are taxed 26 min · quiz
2 Computing corporate net income and taxable income 24 min · quiz
3 Corporate tax rates and the small business deduction 24 min · quiz
4 Investment income, refundable taxes and dividend accounts 25 min · quiz
5 Integration and owner-manager remuneration 23 min · quiz
6 Rollovers, share transactions and reorganizations 25 min · quiz
7 Partnerships 24 min · quiz
8 Trusts and estates 26 min · quiz
9 GST/HST and other commodity taxes 24 min · quiz
10 International business: residence, foreign income and the global minimum tax 25 min · quiz
11 Tax planning, anti-avoidance rules and ethics 26 min · quiz
12 Compliance, administration and a capstone 24 min · quiz
E Final exam 20 questions

Requirements

ACCT-351 Canadian Income Tax I

Recommended background. You can start any course at any time.

Description

Part of the Business stream, typically taken in year 3.