The Challenging Scenario of Mutual Funds Distributions and Taxes
You may get a harsh surprise when you get a tax bill from a mutual fund that lost money. It’s perfectly legal and has happened in the past too. When and where you hold investments matters a lot when it comes to managing taxes. Let’s dive in to understand how mutual fund distributions create tax liabilities for you even when you lose money.
Why should you read The Z-Book?
This book is designed to give an overview of the SR&ED Program of the Canadian Tax Credits & Refunds System to the busy executive and the business owner/manager. In order to keep the Canadian businesses competitive in the present global market, the Canadian government offers one of the most generous incentives to Canadian businesses to encourage them to engage in scientific research and experimental development (SR&ED). It is also available to foreign corporations conducting SR&ED in Canada. It is estimated that only a very small fraction of those eligible actually apply for this credit. It is also estimated that in the last fiscal year tax credits running into billions of dollars were approved, including refunds to eligible businesses. There is no upper limit set by the Government as to the amount of tax credits it is willing to give to eligible businesses with regard to SR&ED.
*Note: This book was released in 2011 and laws change over time. Seek professional advice.
