Elimination of Tax Deferral – Partnerships and Joint Ventures
As a result of the 2011 Federal Budget the government has proposed to eliminate the tax deferral for corporations that have a significant interest in a partnership. Also on November 29, 2011, the CRA announced that joint ventures will no longer have a fiscal period. Therefore we will now have to report the income from joint ventures and partnerships up to the year end of the company.
For more information, see http://www.cra-arc.gc.ca/tx/