If you have capital gains after October 17, 2000, you will benefit from reduced capital gains tax rates...

Federal Capital Gains Tax

If you have disposed of a property anytime after October 17, 2000, 1//2 of your capital gain is taxed federally. This used to be 75%.

Ontario Capital Gains Tax

The Ontario government has reduced their tax on capital gains to 50% in 2004.

Capital Gains Deferral on Eligible Small Business Investments

On October 17, 2000 the federal government introduced what is now an unlimited deferral on the gain of shares in an eligible small business corporation where the proceeds of disposition are reinvested in the shares of another eligible small business corporation.  The time limit for reinvesting the funds is any time in the year of disposition up to 120 days after the end of that year.  Corporations exempted from this are professional corporations, specified financial institutions, corporations whose principal business involves leasing, rental, development, sale, or any combination thereof of real property owned by it, or a corporation more than 50% of the value of which is attributable to real property.

Information on this website is not intended to be a definitive analysis of tax laws or cases and should not be used in such a manner. The information provided on this site should not be relied upon to replace professional advice specific to your situation.

Capital Gains Tax