Budget move likely to discourage global expansion

Yesterday’s Globe and Mail: The federal Finance Department is acknowledging it could reap a bonanza of additional tax revenue from a controversial budget move to scrap the deductibility of interest that companies incur to fund foreign operations. I’m trying to understand the logic here but I can’t. I know this is money leaving the country,Continue reading “Budget move likely to discourage global expansion”

Exxon Mobil’s profits and taxes: both records

Exxon Mobil announced recently the highest annual profits by a US corporation in history. Reaction was predictable – the US Congress was littered with outraged politicians calling for a windfall profits tax. But that would be wrong, and the Tax Foundation can explain why much better than I: While they were recording record profits lastContinue reading “Exxon Mobil’s profits and taxes: both records”

Movie stars and the IRS, Ban Ki Moon, and the Top 100 Places to Work

BeancounterBlog discusses the recent détente between movie stars and the IRS. Seems the IRS feels all those really expensive gifts that celebrities get should be taxable, and the Hollywood Foreign Press Association agrees. Celebs will now be “issued appropriate informational tax forms by the HFPA and will be responsible for satisfying their income tax obligations.”Continue reading “Movie stars and the IRS, Ban Ki Moon, and the Top 100 Places to Work”

Income trusts in Canada to be taxed after all

The Canadian Federal government announced on Halloween that income trusts will now be subject to income tax of 34% in line with corporate income taxes in the country. You might remember that many corporations were converting or considering conversion to income trusts to take advantage of the flow-through nature of the structure recently. I arguedContinue reading “Income trusts in Canada to be taxed after all”

Income trust tax loophole gaining popularity

Income trusts have dominated business headlines in Canada for the past couple days, ever since one of the oldest corporations in the country announced they were converting to save hundreds of millions in corporate taxes. Income trusts eliminate the double taxation in Canada on business income above the small business limit ($300,000 in 2006). UpContinue reading “Income trust tax loophole gaining popularity”