Entries by Cherry

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How to Borrow Money from Small Business to Purchase Primary Residence

Recently I saw a question on social media about borrowing money from your small business corporation to purchase your primary residence.  “I run a small business in my corporation and have accumulated a large amount of savings in the corporation.  Can I take money out as an employee home purchase loan to purchase my primary […]

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A Simple Way to Manage Cash Flow That Works For All Business Owners

I recently had a casual conversation with my client.  He’s currently working as a consultant for a small business who’s owned multiple stores in a grocery chain. His clients often asked him, ‘where did my money go?’ As a business owner and a licensed accountant myself who prepares annual financial statements all the time, it […]

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How to Earn Extra Income & Stay on the Right Side of CRA

We build businesses in a proper corporate structure, so we get tax deductions and pay less tax. We invest in real estate because it creates long-term wealth.   We trade stock options because it adds short-term cash flow. We purchase a whole life insurance policy and leverage it to grow two assets at the same […]

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Court Case Revealed How to Deduct Rental Losses Legitimately

A few weeks ago, we discussed the CRA criteria to deduct renovation expense – How to Write-off Renovation the Right Way.  Someone comment on social media that the rules are “clear as mud”.  😂😂 I mean, it is a fair comment.  It isn’t simple.  This is why CRA and taxpayers fight with each other in […]

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3 Federal Budget Winners for Investors

Our Federal government cancelled the budget last year.  We incurred just under $354.2 billions of deficit.  This means that, between the tax revenue that they received vs. the spending that they had incurred, they over-spent by $354.2 billions. Their forecast for upcoming year will be similar.  Spend, spend, spend.  There’re very few measures imposed in […]

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How to Write-off Renovation Expense the Right Way

A few days ago, I came across an article written by Jamie Golombek, CIBC Managing Director, Tax & Estate Planning on Financial Post.  The title of the article is: “Difference between current and capital expenses has big tax consequences for rental property owners.” I thought I could use this opportunity to share with you why […]

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Buying a Tesla and Save $24,860 of Tax Immediately

We had been helping many real estate agents setup corporations in the past few months.   Many of them are high income earner, high commission income with little deductions.  One thing we suggested to those who are interested in buying a new car is to purchase an zero emission vehicle.   (As a disclaimer, I am not […]

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Landlord Credit Bureau: Another Tool Added to the Landlord’s Toolbox

It’s March 18.  Our team is getting extremely busy during tax season.  With the lockdown rules changing by the minute, we were fortunate enough to visit a ski hill for a couple of runs this past weekend.  I learned skiing properly the very first time in the last ten years.  I wouldn’t consider myself as […]