CMBA continues to be involved in the
Coalition for Small Business Tax Fairness,
which has assessed the new rules around
passive investment income, which were
announced in the 2018 federal budget.
e Coalition wrote to Minister Morneau
in May to provide the following feedback
and recommendations on the new rules.
We would like to start by thanking your
government for making efforts to listen to the
small business community and for beginning
to address some of the most serious concerns
related to passive investment income rules.
e new rules are an improvement and will
lessen the negative impact on some smaller
businesses.
However, despite your government's
promise that passive investments currently
held by small businesses would be
grandfathered under the new rules, we
are deeply concerned that existing passive
investments will be used as a measure to
determine whether they qualify for the small
Budget
Changes
We'd Like
to See
a letter to federal
Finance Minister
Bill Morneau
By SAmANthA GAle
