abce certificate
Friday, 09 January, 2009, 02:20 GMT | more >>

Canada sets trust growth ceiling



By Upstream staff 

Canadian income trusts, which have been granted a four-year transition until they have to start paying corporate income taxes, will be allowed to double their equity capital under new rules announced today.

The Finance Department issued the rules to clarify the position of the grandfathered trusts, following Canadian Finance Minister Jim Flaherty's 31 October decision to start taxing trusts to stop an erosion of government revenues.

They will be allowed to grow by 40% to the end of 2007 and 20% in each of 2008, 2009 and 2010, "together allowing growth of up to 100% over the four-year transition period," a statement said.


Friday, 15 December, 2006, 23:34 GMT  | last updated: Friday, 15 December, 2006, 23:34 GMT

e-mail this article to a colleague


to email:  from:
comments: