In the 2024 federal budget, the Canadian government proposed changes to the capital gains tax inclusion rate that will take effect June 25, 2024. As tax planning is an integral part of your finances, these changes may affect several aspects of your wealth plan from real estate holdings and investment strategies to legacy gifting and estate planning. I’m pleased to share the latest Ask the Experts video featuring Jamie Golombek, Managing Director, Tax and Estate Planning, CIBC Private Wealth along with real estate investor and media personality Scott McGillivray. In the video, they answer some key questions about how the proposed changes to the capital gains inclusion rate may affect your real estate holdings and investment properties.

The planned increase in the capital gains inclusion rate announced in the 2024 federal budget (Budget) has created a frenzy of discussion, worry and anxiety, and, in some cases, the opportunity to get ahead of the change by doing some proactive planning. Here’s what’s happening, who may be impacted, and what you can do about it.

The 2024 federal budget (the “Budget”) included a number of tax measures that will affect Canadian taxpayers. Rather than summarizing the contents of the entire 416-page Budget, this report, which was prepared from within the Budget lock-up in Ottawa, will focus on some of the key tax measures that are of most interest to individuals and business owners. Jamie Golombek, our Tax and Estate Planning Expert give his views on what this means to us.

It’s important to review your overall tax planning strategy with a tax professional to make the most of available opportunities, especially with new savings and investment vehicles, credits and tax policy changes that come into effect each year. Here’s a list of common tax saving opportunities for investors. Personal marginal tax rates for each province are included.

If you had any disposition transactions during the year, your tax package includes a T5008/Relevé18, Statement of Securities Transactions, which reports details of security positions that were sold, redeemed or matured during the 2022 tax year.

If you want to make a gift to your favorite charity and save more on your taxes, then consider donating publicly traded securities. The government encourages these donations by completely eliminating the tax on the capital gains on the securities that were gifted to a registered Canadian charity, including a donor advised fund.

In November 2022, the government released amended draft legislation to implement the new Tax-Free First Home Savings Account (FHSA). The FHSA is proposed to launch as early as April 1, 2023, so to get you prepared, here’s a brief summary of how this new registered plan will work.

The term estate planning conjures images of wealthy philanthropists living out their retirement years on a tropical island, sipping pinã coladas, while managing a plethora of family trusts and private foundations. In truth, estate planning is important for everyone, not just the rich. If you have any assets at all, you need an estate plan so these assets go to the people you care about. Herewith, a 10-step guide to an effective estate plan. Jamie Golombek Managing Director, Tax and Estate Planning, CIBC Private Wealth

During the summer months, many families spend time together away from the hustle and bustle of daily living and retreat to one of the “four Cs” of summer: the cabin, condo, chalet or cottage. Unbeknownst to you, however, is that lurking under the surface of your idyllic retreat may be a host of tax and estate planning issues that, if not tackled early on, could not only cost you (or your heirs) a lot of cash but, in extreme cases, could force the sale of the recreational property that may have been in your family for generations. With some professional advice and some advance planning, however, you may be able to mitigate some of these potential problems. Jamie Golombek Managing Director, Tax and Estate Planning, CIBC Private Wealth

Many Canadians own vacation properties in foreign countries, such as the U.S. Though your vacation property may be located beyond Canada's borders, that doesn't mean that it's outside the reach of the tax authorities. If you are a Canadian resident who owns a U.S. vacation property, taxation becomes more complex because you will have to consider both Canadian and U.S. taxes at each of these stages. With proper planning, however, you can minimize the impact of taxes on your vacation home so that you can enjoy it for years to come. Jamie Golombek Managing Director, Tax and Estate Planning, CIBC Private Wealth

The RRSP, the TFSA and the mortgage: Making the best choice. Which one to choose? Jamie Golumbek, or Tax and Estate Planning expert gives you the facts to help you make the best decision for your personal situation.

Did you know that an RSP beneficiary has a potential tax liability? Jamie Golombek, our Tax and Estate Planning Expert explains in this report.

Five ways to minimize your 2023 tax bill The start of the year is the perfect time to review your tax minimization strategies for the year ahead. Here are five things to consider in 2023. Jamie Golombek Managing Director, Tax and Estate Planning, CIBC Private Wealth

Blinded by the “refund”: Why TFSAs may beat RRSPs as better retirement savings vehicles for some Canadians. A Tax Free Savings Account (TFSA) can be a powerful retirement savings tool, yet some individuals may be reluctant to use it. Canadians who are fixated on the immediate gratification of the “tax refund” associated with Registered Retirement Savings Plan (RRSP) contributions often sock money away in their RRSPs at the expense of TFSA contributions and may be shortchanging themselves come retirement time. Jamie Golombek Managing Director, Tax and Estate Planning, CIBC Private Wealth

Whether you are a looking for a second opinion or just wanting more information about your investments, we are here to help!