The last year has found us really thinking about our mortality
and our legacy. How do we provide for our loved ones? For many
Canadians out there, getting a will in place has been at the bottom
of many "to do" lists. But based on how busy my Wills and
Estates Group has been the last year, it looks like it has jumped
to the top of many lists. When we think about planning our Will, we
think about who will take of our kids, and to provide for them.
It's also possible that one would tend to worry about ensuring
there is enough left over for your family members once the taxman
gets his piece of the pie. So how do you plan your Will in the most
tax efficient manner?
The Spousal Gift
As you all know, Canadian tax rules provide that when you pass
away, you are deemed to have sold all of your assets immediately
prior to your death. To the extent that any of your assets have a
pregnant gain, then your estate will be subject to capital gains
tax. On the bright side of things,
