Life Insurance Financing and the Great Wealth Transfer

Zlcvancouver25 Aug, 2020Health

At the time of death, Canadians are generally deemed to have disposed of and reacquired their assets at fair market value, and this deemed disposition has the effect of taxing accrued gains to prevent tax on these gains from being deferred indefinitely. For Canadian business owners, this often means that the wealth they accumulate within their corporations will lead to a hefty tax bill for their estates. Accordingly, they must consider how to fund the tax in the most efficient way possible.