Annuities can form a great source of income, especially for those looking for regular and structured retirement income. However, just because it is considered widely as a form of retirement income does not necessarily mean annuity payments are not subject to tax.

As a Canadian business owner, or as the holder of shares in a company, if you’re looking for an effective strategy for tax and succession management, then an estate freeze is one option you can exercise.

Through an estate freeze, you can limit income tax on future capital gains, reduce probate fees, and pass control to the next generation of your family in a tax-efficient manner.

Today we’ll be discussing what an estate freeze exactly is, how it works, its benefits, and whether you should consider an estate freeze for your assets.

Canada has a graduated or progressive tax system whereby, the more money you make the more you pay in taxes. This is why Canadian investors and high-net-worth individuals have to be extremely careful in terms of how they invest and what they invest in. The tax repercussions of their investment decisions can easily result in them paying out most of their gains in taxes with little to no financial reward.

While many Canadian families would be content with saving enough money for retirement and leaving behind something for their children, some Canadian families want to preserve their wealth for more than one generation.

The sum of your life accomplishments can often be boiled down to what you leave behind for future generations. For many Canadians, the entire purpose of accumulating wealth is to ensure that the next generation has the best chance for a bright and prosperous future.

Recent tax legislation has introduced some significant changes that have impacted how family trusts are taxed in Canada. These changes have had a significant impact on existing Canadian family trusts with the bulk of these changes impacting many renowned and influential private family businesses.

Eastport Financial Group is a team based financial planning firm, specializing in creating customized tax efficient financial plans and income strategies for the physician community across Canada. We have been working with your peers for more than 20 years. We want to share with you some of the most efficient ways available for you to plan for today and the future - and the importance of building a quality advisory team, and what expectations you should have for those professionals.