Participants will learn to recognize common transactions that can unintentionally trigger adverse Canadian income tax results and how to spot the precursors that lead to those outcomes. Participants will practice preventing, managing, and mitigating these issues by understanding the underlying rules and applying practical planning strategies.

• Practitioners who encounter income tax consequences in their work but are not tax specialists. 
• Public practice and industry professionals seeking practical tools to anticipate and mitigate adverse tax outcomes. 

By the end of this course, participants should be able to: 

• Identify triggering conditions in common transactions that can produce unfavourable tax consequences. 
• Explain the significance of the applicable income tax rules and assess the degree of exposure. 
• Evaluate potential impacts and develop prevention, management, or mitigation strategies. 
• Apply a structured approach to recognizing warning signs and documenting responses.

Topics include: 

• Small business deduction impediments: specified corporate income, association (including family trusts), taxable capital, specified investment business Adjusted Aggregate Investment Income interactions. 
• Inter-corporate dividends and subsection 55(2): asset removals before share sales, division of assets among siblings, prevention techniques, and related tax exposures. 
• Individuals selling shares to non-arm’s-length corporations: section 84.1 considerations, intergenerational business transfers, and selected administrative positions. 
• Family income splitting: dividends paid to family shareholders and TOSI,  and corporate attribution (s.74.4) implications. 
• Stop-loss rules frequently encountered: affiliated-person stop-loss rules, dividend stop-loss, ABIL-related rules (incl. ss.50(1) and debt-forgiveness interactions), and effects of an acquisition of control on losses. 
• Other consequences to avoid: GRIP and CDA calculations/timing, multi-jurisdictional taxpayer issues, principal residence exemption pitfalls, non-resident services in Canada, and bare trust reporting.
  
  

Course Content Created: September 2026

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About This Product

On-Demand Courses by CPA PRO are either video recordings from live seminars, or video recordings produced specifically for the on-demand audience. Slides and any corresponding handout materials are included where available.These titles are eligible for Verifiable CPD Hours – in order to claim these hours as verifiable, you will be required to successfully complete a short quiz. You will be able to print or save your electronic certificate of completion.

Note that some courses comprise both formal instruction and self-directed exercises. In such cases, participants must complete both components to claim full CPD hours, or must reduce their reported CPD hours accordingly.

Please note that not all on-demand courses include downloadable materials such as course notes or slides.

How to get started

After completing your purchase, go to mylms.bccpa.ca. Log in using your CPABC Online Services credentials. Click Go to Your Courses and Materials to access your Learning Center. Select your course title to begin.