MPs on finance committee to discuss timing for changes to small business tax rules

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A parliamentary committee will hold a rare summer meeting next week about when Ottawa plans to change tax rules on the sale of small businesses between family members.

Conservative MP Larry Maguire's private member's bill passed amended the Income Tax Act so business owners could pass on companies to their children or relatives at the same tax rate as if they were selling to a stranger.

The legislation received royal assent in late June just before the House of Commons broke for its summer recess, but didn't include a specific date for when it would come into force. The House of Commons finance committee will meet on Tuesday to grill department officials about the decision. "When this bill was passed by Parliament, only the Liberals voted against it. Now that it is signed into law, Trudeau is simply choosing not to implement it," reads a joint statement from Conservative small business critic Pat Kelly and Luc Berthold, who focuses on the Treasury Board.

 

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