Ads
keep this website free for you. TaxTips.ca does
not research or endorse any product or service appearing in
ads on this site.
Before making a major financial decision you
should consult a qualified professional.
A specified investment business is a corporation whose principal
purpose is to derive income (interest, rent, dividends and royalties)
from property, unless the business employs more than 5 full-time
employees throughout the taxation year. Income from property would include rental or leasing
income from land or buildings, but would exclude income from renting
or leasing moveable property such as machinery and equipment.
A
specified investment business is not eligible for the small business
deduction, and the income is taxed in the corporation in the same
way that investment income is taxed. There is an exception to this when
the investment income is received from an associated corporation earning active
business income. An example would be a holding company leasing property to
an associated corporation earning active business income.
Facebook
| Twitter
| See What’s New, stay
connected with TaxTips.ca by RSS or Email
The information on this site is not intended to be a
substitute for professional advice. Each person's situation differs, and
a professional advisor can assist you in using the information on this web
site to your best advantage.
Please see our legal
disclaimer regarding the use of information on our site, and our Privacy
Policy regarding information that may be collected from visitors to our
site.