Monday, 24 February 2014

Why Should a Holding Company Hold your Portfolio of Stock?

There are many advantages in keeping your stocks in a corporation, especially if you have US stocks.  Some of the advantages are as follows:

·         US estate tax avoidance

·         Estate planning opportunities

·         Better documentation of income and expenditure.

·         Overall a lower tax rate. Tax rate is below the Ontario tax rate of 49%

·         Keeping personal income low to take better advantage of claw backs

·         Income splitting.

·         Ability to withdraw funds on account of capital dividends.

·         Withdraw funds on account of cost of portfolio transferred to the corporation.

·         Exert better control on the amount or the type of income to receive personally from the corporation.
Please click the link below to get more detailed information on the above.

Click to see our Q & A on this topic

This blog is for general information only and cannot replace professional advice.
The reader is invited to contact the writer to discuss the contents of the newsletter.
Readers are advised to seek professional advice before acting on the material
in this newsletter

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