GGFL is delighted to announce that Jean McDonell is our newest Associate Partner, effective January 1, 2019. Jean is an expert in trust and estate planning and a member of our ever-expanding tax team. When she joined the firm on January 6, 1997, there were just five on the tax team. Today, there are 15 and growing.
The principal residence exemption rules permit a Canadian resident to eliminate all or a portion of the capital gain on the disposition of a principal residence. Starting in 2016, individuals who sell their principal residence (including deemed dispositions) must report the sale on their income tax return and make a principal residence designation to claim the principal residence exemption.
Much has been written on the legislative changes to testamentary trusts, which were originally announced in 2014. These revised rules became effective January 1, 2016. Although beyond the scope of this article, generally, preferential tax treatment that had previously existed has been restricted or removed for certain testamentary trusts. Under the new rules, many of the tax benefits have been restricted to “graduated rate estates.”