RLB Blog

Whether you are a US resident or not, it is important that all individuals understand US estate tax and how it can affect them upon death. Estate taxes are taxes that are imposed on the transfer of a person’s estate after their death. These taxes can be imposed by both the United States government and the Canadian government, and they can significantly impact the value of an estate.  

The 2018 Federal budget released draft legislation relating to new trust reporting requirements applicable for trust year-ends ending on or after December 31, 2021. The draft legislation received Royal Assent to be applicable for trust year-ends ending on or after December 31, 2023. The new legislation changes the tax return filling requirements for trusts and additional trust information disclosure requirements were introduced. The new trust information disclosure requirements will be formulate part of your annual T3 Trust Tax Return on Schedule 15.

Guelph, ON – February 9, 2023 – RLB is proud to announce that Alex DiLello has been accepted as a Full member of STEP Canada and has earned the designation of Trust and Estate Practitioner (TEP). The Society of Trust and Estate Practitioners (STEP) is a global professional body, comprised of accountants, lawyers, trustees and other practitioners that help families plan for their futures. 

Being asked to be the Executor of a Will (or the Executor of an Estate) is one of the greatest possible honours any one person can receive. It is a true testament of trust bestowed upon you by the individual in question. While being asked to act as an Executor is certainly a flattering experience, it is important to know this responsibility can sometimes require an enormous amount of work—becoming a full-time job in some cases. 

What is a Family Trust anyway and why do you need one? We have compiled some of the most common questions that our team receives regarding trusts to fully explain the intricacies of the Inter vivos (Family Trust) world. 

RRSPs and RRIFs can be valuable tools to reduce your income and ultimately pay fewer taxes throughout your working career when your income is likely to be at its highest. However, it’s important to designate beneficiaries in your RRSP/RRIF contract and to have a plan in place to withdraw from your RRSP/RRIF once you retire, as holding an RRSP/RRIF at the time of your death can result in a significant income tax bill.

Canadians donate their time, volunteer and fundraise for charities, and make charitable donations. All of these efforts contribute to the country’s societal wellbeing. In addition to benefiting society, when planned properly, charitable giving also may benefit the donor from a tax perspective. If you are considering making donations, be sure to include these in your tax and estate planning. This article will provide more details on the taxation rules that apply to charitable donations, specifically to donations made upon the death of an individual. Although there are various types of donations to utilize in planning, this article will focus on the tax treatment of cash gifts and gifts-in-kind.

At the date of death As a general rule, when an individual passes away, they are deemed to have disposed of their assets on their date of death at fair market value (“FMV”). As a result, any accrued gains on investments held in non-registered accounts, and the full value of certain registered accounts, such as registered retirement savings plans (“RRSP’s”) & registered retirement income funds (“RRIF’s”), typically must be included as income on the deceased’s terminal income tax return.

 The role of the executor is an important one. Whether you were expecting to take on this role, or have had to take it on unexpectedly there are some important tax filings to be aware of. Here are the most common filings you will come across.