Janis Risbin CPA, CMA

Expanding Canada’s Economic Vision: Beyond the Capital Gains Tax Debate The proposed increase in capital gains tax has garnered much attention, and rightly so, yet it’s also crucial to widen the discussion to encompass a more comprehensive vision for Canada’s economic future. The debate around capital gains tax should not overshadow factors that hinder our country's productivity. A dip in productivity limits our collective resources and risks capital flight to more vibrant economies. We must explore the broader elements that influence prosperity for Canadians: 1. Elevating Productivity: Championing policies that enhance productivity is essential. Practical steps like investing in digital infrastructure and upskilling our workforce are critical to solidify our economic foundation and improve our competitiveness globally. 2. Cultivating Innovation: Stimulating innovation and entrepreneurship goes beyond capital gains policy. It involves a strategic shift from foreign to local investment, fostering education relevant to the future economy, and supporting research and development (R&D). Celebrating Canadian success stories can inspire a new wave of innovators (Shopify & Lulelmon are great examples). 3. Stimulating Competition: A dynamic and competitive business environment is the bedrock of a robust economy and job creation. Implementing regulatory reforms and providing incentives for small and medium-sized enterprises (SMEs) can foster a healthier level of competition across industries. Our aim should be to empower Canadian-owned businesses to flourish, construct the next generation of companies, and ensure our tax dollars transition from administration to impact. Changing the conversation can start to drive awareness and change.

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It makes no sense to me! Just recently, I’ve read a roort showing that net business creation in Canada was negative. There are more companies closing than new ones opening. Entrepreneurship is the backbone of our economy and prosperity as a nation. How can you ask someone to risk everything they have, not take a salary for years, bear all the risk…but tax them on the upside as if this business was handed to them. 🤷🏻‍♂️ I’m not sure who advises the government when it comes to value creation, but this person seems disconnected from reality. #FinanceBudget #ValueCreation #CapitalGain

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💡 Let’s Normalize Conversations Around Money 💡 Shannon Pestun and I over at The Finance Cafe have been encouraging the practice of taking yourself on a money date for years, and we’re thrilled to see this concept gaining traction. This recent The Globe and Mail article highlights the importance of checking in with your finances regularly—something we strongly advocate. As Rob Carrick mentions in the article: "The exact frequency, length, and intensity of your own financial routine is less important than just having a process that keeps you on top of how much you’re spending, saving, and investing." This resonates deeply with us. A money date is about creating space to review your financials, ask the hard questions, and seek support when needed. It’s about breaking the stigma around money and empowering entrepreneurs, especially women, to take control of their financial health. Let’s continue to normalize these conversations, embrace our finances, and ask for help when needed—because no one has to go through this alone. Read the article here for more inspiration and let’s keep talking about financial wellness! 👇 #FinancialWellness #MoneyDates #WomenEntrepreneurs #NormalizeMoneyTalks #TheFinanceCafe

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It's great to see how effective personal engagement can be. Ability to come across as genuine and relatable, despite the challenging circumstances, demonstrates the power of authentic communication. Meeting and connecting on a human level, discussing everyday topics , shows a commendable effort to bridge gaps and foster understanding. This encounter highlights the importance of listening and empathy in leadership, and it's encouraging to see such a positive example of these qualities in action. #truckingindustry #logisticsindustry #career #hiringnow #recruitment #applytoday #rfarrerandassociates #recruitmentpartner

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Canada needs a simpler, fairer tax system. CPA Canada is advocating for a principled approach, pushing back on complex, poorly implemented policies like the capital gains inclusion rate hike. A focus on clarity and consultation will benefit taxpayers and ensure better policy outcomes. #TaxReform

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Our latest article explores the complex requirements of Canada's new clean economy tax credits and why companies must act quickly to make the most of them. Click to learn more.

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RRSP vs TFSA…. 🇨🇦 Which one is better?? When it comes to building wealth, choosing between tax-free and tax-deferred saving can feel tricky. Here's the deal: - Tax-Free Savings (TFSA in Canada): You pay taxes on the money upfront, but all your growth and withdrawals are tax-free. Great if you expect to be in a higher tax bracket later or want easy access to your funds. - Tax-Deferred Savings (RRSP in Canada): You defer taxes until you withdraw, usually in retirement when you're likely in a lower tax bracket. This helps reduce taxes today, but you'll pay them down the road. One key reason to pick one over the other is flexibility? If you need flexibility and tax-free growth, go TFSA. If reducing your current tax bill is key, consider RRSP. The best choice depends on your financial goals and current tax situation! I cover this topic in more depth in my upcoming course on how to build wealth in Canada - sign up using the link in comments. #TaxTips #WealthBuilding #PersonalFinance

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George Weston, Loblaw settle class-action lawsuits over bread price-fixing scheme ... Companies agree to $500 million settlement Jillian Morgan, 7/25/2024, CANADIAN GROCER The industry-wide price-fixing arrangement took place between 2001 and 2015 involving certain packaged bread products. Loblaw Cos. Ltd. and parent company George Weston Ltd. will pay $500 million to settle the class-action lawsuits against them for their role in a decade-old bread price-fixing scheme. It's the largest anti-trust settlement in Canadian history. The industry-wide price-fixing arrangement took place between 2001 and 2015 involving certain packaged bread products. George Weston will pay $247.5 million in cash, and Loblaw will pay $252.5 million. Loblaw’s portion is made up of $156.5 million in cash and credit for $96 million previously paid to customers under the Loblaw Card program. The grocer reported net earnings of $457 million Thursday (July 25), down $51 million or 10% year-over-year due to charges related to the settlement. Loblaw said it was hit with a $121 million charge in the second quarter as a result of the agreement. "Canadians count on Loblaw to provide great value and we seek to meet their needs and earn their trust whenever and wherever they choose to shop with us," said Per Bank, president and CEO of Loblaw, in a release. "We will continue to work hard to deliver on that commitment." There are still ongoing class actions against Canada Bread, Sobeys, Metro, Wal-Mart Canada, and Giant Tiger over the industry-wide conspiracy. In June 2023, Canada Bread was fined $50 million after it plead guilty to four counts of price-fixing related to packaged bread products under the Competition Act. The settlement figure was negotiated with the plaintiffs' lawyers in a mediation presided over by the chief justice of the Ontario Superior Court of Justice. Funds will be distributed to eligible class members in accordance with a plan of distribution to be approved by the courts. "Tthe settlement provides access to evidence to be used in pursuing the case against the remaining defendants," said Jim Orr, partner, Orr Taylor LLP, in a statement. "The expectation is that this will result in further significant monetary recovery for Canadian consumers." Orr Taylor LLP is one of the firms representing the plaintiffs, as well as Strosberg Wingfield Sasso LLP, Renno & Vathilakis Inc., LPC Avocats, CFM Lawyers LLP and Boudreau Law.

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Dive into the ethics of corporate profit with an examination of Loblaws and its CEO, Galen Weston. Discover how the pursuit of "Maximizing Shareholder Wealth" has led to practices that harm employees, disrespect customers, and damage the environment. Article Link: https://lnkd.in/gygB9jRv Key Points: -The impact of profit-first mentality on employee well-being and job security. -Loblaws' environmental practices, including excessive plastic packaging. -Allegations of price-fixing and the erosion of customer trust. -Galen Weston's efforts to deflect criticism and evade accountability. -The role of MBA programs in prioritizing profit over ethics. What are your thoughts on the ethical implications of corporate profit and what do you think about how businesses can prioritize ethics over profit? hashtag #CorporateEthics #ShareholderWealth #LoblawsBoycott #EthicalBusinessPractices

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The personal tax deadline is quickly approaching in Canada, with April 30th only a few weeks away. By now, you should have already completed gathering all necessary documents including T-slips, receipts, and any other relevant information needed to file your taxes. If you haven't done so, it's time to kick things into high gear and get caught up before the deadline hits. If you find yourself falling behind, don't panic. There are several steps you can take to catch up and avoid any potential penalties. Start by organizing all your documents and setting aside dedicated time to work on your taxes. Consider seeking help from an accounting professional or tax preparer if you feel overwhelmed or unsure about how to proceed. Failing to file your taxes on time can result in penalties and interest charges. It's important to file on time even if you can't pay the full amount owing, as this can help minimize any penalties and allow you to set up a payment plan if necessary. Don't let the tax deadline sneak up on you next year – take action now to ensure you're prepared and on track to file. Over here at UpSide Accounting all of our monthly packages INCLUDE a personal tax return for you and your spouse. Head over to our website (Link in the comments below) and by this time next year, you could be enjoying your booming business rather than worrying about your tax return. #upsideaccounting #accounting #creatives #smallbusiness #collaboration #taxtime #personaltaxreturn #creativebusiness #teamgoals

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Three strategies for end of year tax planning: 1)     Spousal RRSP Contribution – A spouse can contribute to their partners RRSP and receive the tax deduction in that year. The receiving spouse can withdraw those funds after the vested period. (usually at a lower tax rate). If a contribution was made in December 2024, then the withdrawal could occur in 2027 vs. if a contribution was made in January 2025 the vested period would be 2028. So, it would make sense to try and get the contribution completed this month vs. next. 2)     RRIF income splitting – 50% of eligible pension income can be split between spouses. Strategically it might make sense to convert your RRSP to a RRIF early at year end to be eligible for income splitting. (Speak with your accountant to see if it makes sense) 3)     TFSA Withdrawals – Starting January 1 all TFSA room is restored from previous withdrawals. If you are intending on making a large purchase and using a TFSA to fund it, then ideally you would complete the withdrawal in December to then get that room back in January. If you have any questions reach out!

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🌟 Gratitude Post 🌟 I had the absolute pleasure of joining Milena Radakovic on the WEDO Pay It Forward show! 🙏 We had a fun and insightful conversation about the importance of taking the mystery out of the numbers in business. One tangible takeaway from our discussion: Understanding your financial statements isn't just about numbers—it's about making informed decisions that empower your business to grow. Thank you, Milena, for the opportunity to share my passion for financial literacy, the importance of what we're doing over at The Finance Cafe and supporting entrepreneurs on their journey to success! If you want to learn more follow along The Finance Cafe! #PodcastGuest #FinancialLiteracy #Entrepreneurship #WeDoPayItForward #Gratitude

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The Convenience Industry Council of Canada (CICC) today released the third report they commissioned from EY Canada that I have authored on the prevalence of contraband tobacco and its fiscal consequences. Consistent with findings of previous reports, I found that contraband accounts for a growing percentage of the total market for tobacco products in Alberta (29.4%), Manitoba (45.0%), Quebec (11.9%), New Brunswick (52.0%) and Nova Scotia (38.4%), resulting in significant lost provincial tobacco tax revenue - a combined total of $320 million in 2023 alone. The full report is available on the CICC's website: https://bit.ly/3CDH1rb

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Whatever your investment approach, hybrid funds bring with them a level of complexity when it comes to administration. You need support from a partner who understands these challenges and you can trust to leverage their expertise across different asset classes to ensure the entire process runs smoothly and remains hassle-free. Our highly experienced team at IQ-EQ has worked with complex closed and open-ended structures and can establish and administer your hybrid fund — supported by an integrated technology platform based on our dedicated software and close partnerships with leading third-party providers. Learn more about our hybrid fund services here: https://ow.ly/1wR150Tkh5v #iqeq #oneiqeq #funds #hybridfunds #fundservices

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✨ Gratitude, Celebration, and Giving Back ✨ I’m excited to share this initiative from The Finance Cafe as we kick off the 12 Days of Gifting! 🎁 This holiday season, we’re celebrating the inspiring women entrepreneurs who have graced our podcast with their wisdom. These incredible women have shared not only their expertise but also their heart and determination to make a difference. 🌟 What makes this even more special? We’ve purchased $7,500 worth of products from their businesses to give back to YOU—our amazing community of listeners and supporters. 💼 Supporting women entrepreneurs is at the very core of what we do at The Finance Cafe. It’s an honor to champion these brilliant women and continue spreading their impact across Canada. How it works: 🎁 Each day, we’ll highlight a gift and a message from one of our guests. 🎁 To win, simply: Follow, Like, and Comment on why you’re excited about the gift. 🎁 Winners will be randomly selected and announced on December 20th. I encourage you to follow and support these amazing women entrepreneurs you’ll learn about over the next 12 days. Their businesses and stories are inspiring examples of resilience, innovation, and the power of entrepreneurship. Don’t forget to listen to their podcast episodes to hear their wisdom firsthand! 🌟 Let’s celebrate, uplift, and give back together this holiday season. 🎉✨ #WomenEntrepreneurs #HolidayGiving #SupportLocal #FinancialWellness  #SmallBusinessSupport #Entrepreneurship #PodcastRecommendations #Podcast

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For our last (of 4) strategy pieces on advanced RRSP planning, we look at the “meltdown strategy”. This strategy aims to replace excess RRSP assets with non-registered assets, but is the riskier that the others we have discussed because it uses an investment loan (leverage). The meltdown strategy follows the same principal as the preceding posts – it can be more tax efficient over the long-term to spread out RRSP/RRIF withdrawals over more years. This, of course, depends on both your and your spouse’s retirement date. We talked 2-weeks ago about how a spousal RRSP being key if you think your spouse will retire before you…but I digress. For the meltdown strategy, you would obtain an investment loan to be invested in a non-registered account. You would then pay the interest component of the loan by withdrawing (deregistering) the exact same amount of funds from your RRSP. From a tax perspective, you are accomplishing an offsetting income inclusion (RRSP withdrawal) with an interest expense deduction from the loan – because the cash from the loan is invested in a non-registered taxable account, you can write off the interest. Said another way, you’ve created an offsetting income-expense balance, at least in theory (there are withholding taxes on RRSP withdrawals so sizing is key), which is why you should consult your tax professional before implementing anything like this. It is quite simple to create a tax-efficient non-registered account strategy targeting capital gains. Even heavily discounted bonds will accomplish this quite nicely. This is a complex strategy so you’ll need someone reliable to model this out for you, but it has the potential to help you restructure your savings if you find yourself very RRSP heavy.

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Who knew that asparagus could be such a telling indicator of the economy? At the Vancouver Farmer's Market, my wife and I had an eye-opening conversation with the owner of one of the larger farms. He pointed to the asparagus, usually a top seller, and said that sales were way down. Asparagus has become a luxury item, indicating that people just don't have the money to spend. This speaks louder than the "good news" we hear about prices stabilizing and inflation being down. When the cost of living makes a bundle of greens a second thought, we have to question the story. What's your take on this? #VancouverFarmersMarket #EconomyIndicator #AsparagusEconomy #MarketTrends #CostOfLiving #InflationReality #LuxuryVeggies #RealEconomicTalk #GroceryEconomics #FarmersInsight #ConsumerTrends #FoodInflation #BudgetCuts #EconomicSignal #PersonalFinanceCanada #PriceCheck #GroundLevelEconomics #SpendingHabits #CanadianEconomy #FinancialInsights #PrivateEquityLending #HomeownerTalk #InvestmentInsights #Financial

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Have you started the process of creating 2025 budgets?

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I have reviewed several articles and watched numerous videos on the implications of the new Federal Budget. Please see below for my comprehensive review of the federal budget. It Sucks That is the only way I can think of to perfectly summarize my feelings on this budget. For a country that already suffers from "brain drain" and a lack of productivity, this government has demonstrated an utter lack of respect for tax payers and hard working entrepreneurs. I would be less frustrated if we had top tier healthcare, public infrastructure and education systems but this is not the case. In fact, Canada's health care system ranks 9th out of 11th for high income countries. This heavy tax and recklessly spend government policy is going to negatively impact Canadian citizens for several decades. Please see the attached article written by Kim Moody that summarizes how our current personal tax rates compares to our southern neighbors and why it needs to change. https://lnkd.in/eJkaUztq

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