Intergenerational Business Transfers – Tax Considerations

For many family businesses, the eventual retirement of its founder(s) often results in the transfer of the business to another—usually younger—owner within the family. In this course, we will examine the tax implications and various other considerations relevant when a family business is transferred to another related owner.

Topics Covered:

• Different business structures in Canada
• Potential methods of transferring a family business to another family member
• Gift, sale, and transfer of shares—tax implications to seller and buyer
• Example scenario to illustrate application
• Section 84.1 – review of technical rules (prior to June 2021)
• Bill C-208 amendments to section 84.1 – review of technical rules (from June 2021 through December 2023)
• Further changes to section 84.1 – review of technical rules (effective January 1, 2024)