How Business Owners Can Reduce Their Corporate Tax Bill Despite New Federal Budget

Although February's federal budget contained no major corporate or personal tax rate changes, it does penalize corporations with large amounts of investment income held internally, so-called passive income. In this area, the federal government is introducing measures that limit the benefit from the small business tax rate. In Ontario, the small business corporate tax rate on the first $500,000 of business income is currently 13.5%, set to decrease to 12.5% in 2019. The corporate tax rate...