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Taxation

Corporate Tax - Purchase and Sale of a Business (On-Demand - CPA PRO)

DELIVERY FORMAT
Online On-Demand
SEMINAR TYPE
PD Seminar

Overview

This course offers practitioners, business owners, and other tax professionals relevant technical and practical knowledge of important income tax considerations for when it is time to buy, sell, or undertake an intergenerational transfer of a private Canadian business.

 
Access expires 180 days from purchase date

Course Description

Merger and acquisition activity in Canada continues to thrive, notwithstanding profound environmental changes. The process of buying or selling a business in Canada, or transitioning it to one’s children, employees or other successors, can constitute one of the most exciting yet stressful times in the lives of entrepreneurs, their key executives, members of their families, and their professional advisors. The purpose of this course is to alleviate some of the stress by providing an understanding and update of Canadian income tax issues for purchasers and vendors of businesses in Canada and their professional tax advisors.

The focus of this course will be on transactions between Canadian private business owners and/or their privately-held corporations as well as issues arising from their purchasing from or selling to family members, public corporations, and non-residents. Following introductory comments on commercial and tax due diligence issues, the course offers a discussion of technical and practical content on relevant rules, anti-avoidance measures, planning opportunities, and updates from the government and the courts in the context of commonly used transaction structures and business vehicles. In particular, the course will explore separate and comparative material on “share transactions” vs. “asset transactions,” along with a presentation of issues common to both. Several hypothetical case studies will be reviewed to illustrate major concepts.

Applicable for

Practitioners, industry members, and owners/key executives in privately owned Canadian businesses, who are tax professionals wanting technical and practical knowledge and updates in taxation issues relevant to the purchase and sale of a business in Canada, and opportunities to discuss this with an experienced practitioner.

Participants should have access to a copy of the Canadian Income Tax Act and related technical research resources.

Learning Objectives

  • Identify and act on opportunities to be of service to their clients / employers as potential private purchasers and vendors of businesses in Canada, in a manner that is consistent with codes of ethical business culture and professional independence/conflict of interest
  • Comprehend, explain, and act on key income tax concepts that are most relevant to purchasers and vendors of businesses in Canada prior to a proposed transaction, at the time of the transaction, and at times subsequent
  • Participate meaningfully in negotiations on behalf of buyers or sellers in negotiating tax-consideration-driven transaction structuring and assessing the impact on income taxes to both sides
  • Identify and assist with related tax compliance obligations
  • Identify, assess, and address both pitfalls and situations that offer opportunities for tax savings
  • Apply the most important recent legislative and interpretive changes to the rules in delivering planning and other advice and related compliance services

Content

  • Commercial factors
    • Motivations to sell/acquire
    • Identifying interested/relevant parties
    • Valuation
    • Financing
    • Role of Tax Professionals
    • Buying/selling assets vs. shares
    • Impact of government assistance and other consequences
    • Personal & corporate income tax rates and integration
  • Share Transactions
    • Purchaser – determination and tax treatment of purchase price, tax impact on acquired corporation, acquisition of control, asset basis bump, and dealing with non-residents and public corporations
    • Vendor – determination and tax treatment of gain/loss on sale, capital gains deduction (including the “Canadian Entrepreneur’s Incentive”) and deferrals/rollovers (including the “eligible small business corporation” share exchange), pre-sale planning including s. 55, and dealing with non-residents and public corporations
  • Asset Transactions
    • Accounts receivables
    • Inventory
    • Capital assets including depreciable property, goodwill/intangibles, and real estate
    • Dealing with Non-residents
    • Allocation of the sale/purchase price among assets
    • Tax status of vendors and purchasers
    • Contingent liabilities
    • Hybrid transaction example
  • Intra-family and intergenerational transfers
    • Related and affiliated persons
    • Not dealing at arm’s length
    • Price adjustment clauses
    • Application of and recent exceptions to the anti-avoidance rule of s. 84.1 
    • Application of exceptions to the anti-avoidance rules of S. 55 
  • Other Issues
    • Restrictive covenants - S. 68
    • Interest expense
    • “Excessive Interest & Financing Expense” Limitations (EIFEL)
    • Mandatory Disclosure Rules and the GAAR
    • Vendor take back financing
    • Earnouts
    • Retiring allowances and IPP’s
    • Employee share options
    • Employee Ownership Trusts (“EOT’s”)
    • Post-transaction Tax-On-Split-Income (“TOSI”) considerations
    • GST/PST

Course Content Created: September 2025

The information is current as of the creation or last updated date. While we strive to keep our inventory updated and periodically remove outdated titles, changes in accounting, tax, legislation and technology may occur. Purchasers should note the date and verify for themselves if the course is still relevant to their needs.

Presenter

Bobby Boutilier, CPA, CA

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

Upon completion of purchase, go to mylms.bccpa.ca and log in using your CPABC Online Services credentials. Click “Go to your Courses and Materials” to go to your Learning Center, then find and click on your course title.

Course Dates & Registration

Available on-demand. 180-day access from purchase date.
Available
Available on-demand. 180-day access from purchase date.
Past
Available on-demand. 180-day access from purchase date.
Past
Available on-demand. 180-day access from purchase date.
Past
Available on-demand. 180-day access from purchase date.
Past
Level up with CPA PRO. Designed by the CPA profession for CPAs, these courses help you adapt to industry changes and advance your career with the latest industry content delivered in a way that works
PLDP Wordmark
Course Details
Cost
$425
Members
$475
Non-Members
Eligible Hours
7
CPD Hours
0.17
Ethics Hours
0
AML Hours
Passport
10
Credits
Special Notes
Access to all paid on-demand learning courses will be for 180 days from the date of purchase. Please disregard any reference to the dates of either August 31 or March 31 which is for internal purposes only.

Starting April 1, 2026, a 2.1% fee will be applied to all credit card transactions. Learn more about this fee and how it relates to PD registrations.

Taxation

Corporate Tax - Purchase and Sale of a Business (On-Demand - CPA PRO)

DELIVERY FORMAT
Online On-Demand
SEMINAR TYPE
PD Seminar
Course Details
Cost
$425
Members
$475
Non-Members
Eligible Hours
7
CPD Hours
0.17
Ethics Hours
0
AML Hours
Passport
10
Credits

Overview

This course offers practitioners, business owners, and other tax professionals relevant technical and practical knowledge of important income tax considerations for when it is time to buy, sell, or undertake an intergenerational transfer of a private Canadian business.

 
Access expires 180 days from purchase date

Course Description

Merger and acquisition activity in Canada continues to thrive, notwithstanding profound environmental changes. The process of buying or selling a business in Canada, or transitioning it to one’s children, employees or other successors, can constitute one of the most exciting yet stressful times in the lives of entrepreneurs, their key executives, members of their families, and their professional advisors. The purpose of this course is to alleviate some of the stress by providing an understanding and update of Canadian income tax issues for purchasers and vendors of businesses in Canada and their professional tax advisors.

The focus of this course will be on transactions between Canadian private business owners and/or their privately-held corporations as well as issues arising from their purchasing from or selling to family members, public corporations, and non-residents. Following introductory comments on commercial and tax due diligence issues, the course offers a discussion of technical and practical content on relevant rules, anti-avoidance measures, planning opportunities, and updates from the government and the courts in the context of commonly used transaction structures and business vehicles. In particular, the course will explore separate and comparative material on “share transactions” vs. “asset transactions,” along with a presentation of issues common to both. Several hypothetical case studies will be reviewed to illustrate major concepts.

Applicable for

Practitioners, industry members, and owners/key executives in privately owned Canadian businesses, who are tax professionals wanting technical and practical knowledge and updates in taxation issues relevant to the purchase and sale of a business in Canada, and opportunities to discuss this with an experienced practitioner.

Participants should have access to a copy of the Canadian Income Tax Act and related technical research resources.

Learning Objectives

  • Identify and act on opportunities to be of service to their clients / employers as potential private purchasers and vendors of businesses in Canada, in a manner that is consistent with codes of ethical business culture and professional independence/conflict of interest
  • Comprehend, explain, and act on key income tax concepts that are most relevant to purchasers and vendors of businesses in Canada prior to a proposed transaction, at the time of the transaction, and at times subsequent
  • Participate meaningfully in negotiations on behalf of buyers or sellers in negotiating tax-consideration-driven transaction structuring and assessing the impact on income taxes to both sides
  • Identify and assist with related tax compliance obligations
  • Identify, assess, and address both pitfalls and situations that offer opportunities for tax savings
  • Apply the most important recent legislative and interpretive changes to the rules in delivering planning and other advice and related compliance services

Content

  • Commercial factors
    • Motivations to sell/acquire
    • Identifying interested/relevant parties
    • Valuation
    • Financing
    • Role of Tax Professionals
    • Buying/selling assets vs. shares
    • Impact of government assistance and other consequences
    • Personal & corporate income tax rates and integration
  • Share Transactions
    • Purchaser – determination and tax treatment of purchase price, tax impact on acquired corporation, acquisition of control, asset basis bump, and dealing with non-residents and public corporations
    • Vendor – determination and tax treatment of gain/loss on sale, capital gains deduction (including the “Canadian Entrepreneur’s Incentive”) and deferrals/rollovers (including the “eligible small business corporation” share exchange), pre-sale planning including s. 55, and dealing with non-residents and public corporations
  • Asset Transactions
    • Accounts receivables
    • Inventory
    • Capital assets including depreciable property, goodwill/intangibles, and real estate
    • Dealing with Non-residents
    • Allocation of the sale/purchase price among assets
    • Tax status of vendors and purchasers
    • Contingent liabilities
    • Hybrid transaction example
  • Intra-family and intergenerational transfers
    • Related and affiliated persons
    • Not dealing at arm’s length
    • Price adjustment clauses
    • Application of and recent exceptions to the anti-avoidance rule of s. 84.1 
    • Application of exceptions to the anti-avoidance rules of S. 55 
  • Other Issues
    • Restrictive covenants - S. 68
    • Interest expense
    • “Excessive Interest & Financing Expense” Limitations (EIFEL)
    • Mandatory Disclosure Rules and the GAAR
    • Vendor take back financing
    • Earnouts
    • Retiring allowances and IPP’s
    • Employee share options
    • Employee Ownership Trusts (“EOT’s”)
    • Post-transaction Tax-On-Split-Income (“TOSI”) considerations
    • GST/PST

Course Content Created: September 2025

The information is current as of the creation or last updated date. While we strive to keep our inventory updated and periodically remove outdated titles, changes in accounting, tax, legislation and technology may occur. Purchasers should note the date and verify for themselves if the course is still relevant to their needs.

Presenter

Bobby Boutilier, CPA, CA

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

Upon completion of purchase, go to mylms.bccpa.ca and log in using your CPABC Online Services credentials. Click “Go to your Courses and Materials” to go to your Learning Center, then find and click on your course title.

Course Dates & Registration

Available on-demand. 180-day access from purchase date.
Available
Available on-demand. 180-day access from purchase date.
Past
Available on-demand. 180-day access from purchase date.
Past
Available on-demand. 180-day access from purchase date.
Past
Available on-demand. 180-day access from purchase date.
Past
Special Notes
Access to all paid on-demand learning courses will be for 180 days from the date of purchase. Please disregard any reference to the dates of either August 31 or March 31 which is for internal purposes only.

Starting April 1, 2026, a 2.1% fee will be applied to all credit card transactions. Learn more about this fee and how it relates to PD registrations.

Level up with CPA PRO. Designed by the CPA profession for CPAs, these courses help you adapt to industry changes and advance your career with the latest industry content delivered in a way that works
PLDP Wordmark