2024 March Newsletter– Streamline Accounting Professional Corp

As we enter the tax season, we’re excited to share some updates designed to streamline our personal tax preparation process: 

2023 Tax Preparation Fee:
  We’ve updated our fee structure for enhanced transparency and fairness. The base fee is now $99+GST, with additional charges based on specific items required for your tax preparation. This change aims to simplify billing and maintain costs similar to last year for unchanged situations. Details are available on our website. 

Document Submission: Please use the online tax preparation checklist sent earlier to upload documents or drop them off at our new office (Bay 8, 4101 19th Street NE) where parking is available. 

Value-Adding Services: since we are doing a lot of personal taxes every year, if we notice some tax saving tips while preparing your taxes, we will send you a note. Please look for the “Helpful tips” in your tax package for those advice.  

Our Growing Team

Streamline Accounting Professional Corp is expanding. Our team now includes familiar faces such as Kiyo, Yukari and Margaret, and new members like Noreen Flancia and Cheng Jia, who are diligently working towards their CPA designations. If you receive an email from them, please read, it’s not a scam. 

New Team Members

Photo of Noreen
Photo of Cheng

Noreen Flancia
 A CPA designated in the Philippines, bringing international expertise to our team.

Cheng Jia
Completed all of his Canadian CPA courses, and he is on the way to gain practical experience to become a CPA.

The most important 3 changes you need to be aware for 2023 personal tax filing.

  1. Electronic Payments Required Above $10,000 

Starting from January 1, 2024, remittance or payments to CRA should be made electronically if it’s more than $10,000, otherwise penalty may apply.


  2. Be aware! Real Estate Anti Flipping rules. 

Effective 2023, if you purchase a real estate property and then sell it within 365 days, the profit will be considered as business profit not capital gain. There are exceptions to this rule such as death of a family member, work relocation, marriage breakdown, etc. Capital gain means only 50% of the profit is included into the income, business profit includes 100% of the profit. In addition, business profit also subject to CPP and possible GST issue.   

  3. First Time Home Saving Account (FHSA) Reporting Required 

If you opened up a FHSA account in 2023, please let us know, we need to fill out a special schedule this year even though you didn’t contribute into that account. So, please notify us if you had opened an FHSA account in 2023. 


Important dates for CEBA loan holders, learn about a grant and financing options for business owners.

Important dates for CEBA loan holders:

December 31, 2023

This marks the deadline for full repayment for businesses ineligible for loan forgiveness. Note: The January 18, 2024, extension mentioned later does not apply to this category of borrowers.

January 18, 2024

This date signifies the deadline for repayment to qualify for an interest-free grace period and partial loan forgiveness. Borrowers can also apply to refinance the loan for the extension until March 28, 2024. Financial institutions will reach out to confirm eligibility for this repayment extension in the forthcoming months.

March 28, 2024

Borrowers who applied for loan refinancing by January 18, 2024, have until this date to repay the loan (minus the potential forgiven amount) and interest in full to qualify for partial loan forgiveness. The forgiveness can amount to up to 33 percent, with a maximum forgiveness cap of $20,000.

December 31, 2026

This marks the final repayment deadline for all outstanding CEBA loans, inclusive of applicable interest. Note: The term loans incur an interest rate of 5 percent per annum, with varying interest payment frequencies depending on the financial institution.

Canada Digital Adoption Program (CDAP)

This grant helps Canadian businesses to go online and build online businesses. The grant can cover costs like developing websites, optimizing search engines, social media adverting, and etc.


  • Annual revenue of at least $500,000 for any of the previous 3 tax years
  • Have at least 1 employee
  • The form of the business is a corporation or a sole-proprietor  
  • The business is for profit


  • Receive funding of up to $15,000 to create a Digital Adoption Plan.
  • Access an interest-free loan of up to $100,000 from the Business Development Bank of Canada (BDC) to execute your plan.
  • Obtain up to $7,300 to recruit a proficient young individual to implement cutting-edge technologies that can drive your business ahead.

Learn more about the Canada Digital Adoption Program.

Small Business Loan – BDC

This year poses significant challenges for business proprietors, grappling with the repayment of CEBA loans alongside contending with soaring inflation rates. To alleviate this burden, the Business Development Bank of Canada (BDC) has introduced a $100,000 loan tailored for businesses that have incorporated for more than two years. Apparently, the application process is cost-free and conveniently available online. Notably, the approval odds are notably high. However, it’s important to note that acquiring this loan may require up to 40-50 days, potentially creating a time constraint for those seeking funds for CEBA repayment.

For more details regarding this loan or other loans with BDC, please visit the BDC website

Or reach out to the senior account manager with BDC:

George Lu (He/Him)
Directeur principal | Senior Account Manager
T  403-292-5846     403-390-7994     403-292-6651    

If you’re a CEBA loan holder, pay close attention to the upcoming dates. If you have any questions, please reach out and book an appointment with our team.

Do you need a holding company?

A lot of business owners heard about the idea of having a holding company, but many do not really understand what a holding company can do, what the benefit is, and what the drawbacks are. This is a popular question that I get asked quite often. I will discuss the pros and cons of a Holdco so you can have a better understanding of a Holdco.

Do you need a holding company?

What is a Holdco?

A holding company is a type of business entity that primarily exists to own and control other companies’ shares or assets. In Canada, establishing a holding company can offer various benefits depending on your specific business objectives and circumstances. Here are some situations where having a holding company in Canada might be advantageous:

1. Asset protection: A holding company can help protect your business assets by separating them from operational risks. By holding the assets through a separate entity, you create a legal barrier that shields the holdings from potential liabilities arising in the operating companies. If you have a large amount of investments/cash or real estate property, having a holding company to hold these assets might be a good idea.

2. Tax-free Withdrawal of the Initial Investment from Business Acquisition: If you plan to purchase a business by acquiring a company’s shares, having a holding company to do the acquisition will make it easier to withdrawal your initial investment without paying personal taxes.

For instance, you are planning to acquire a car wash company for $1M through taking over 100% of this company’s shares. If you personally purchase the shares, this $1M investment counts toward the share price of the company. You will have to wait until in future you sell this company’s shares to withdraw this initial investment without paying any personal tax.

Alternatively, if you incorporate a holding company, and then lend this $1M personal money to your holding company as a promissory note and then the holding company acquire the car wash company’s shares. In future, when the car wash company has a profit, the profit can be distributed to the holding company through a tax-free intercompany dividend, and this money can be further distributed back to you through repayments of the promissory note. This way your initial investment can be repaid back to you sooner without any tax consequence. 

3. Succession planning: Holding companies can facilitate succession planning by allowing for the transfer of ownership and control of the operating companies to the next generation or chosen individuals. It offers a centralized entity through which shares or assets can be transferred or distributed.

4. Investment vehicle: A holding company can be used as an investment vehicle to hold and manage various investments such as stocks, real estate, intellectual property, or other assets. This can provide a level of separation between your personal assets and your investment activities.

While having a holding company can provide you with various benefits, there are potential drawbacks or considerations to keep in mind when establishing a holding company.

1. No access to Lifetime Capital Gain Exemption (LCGE): It’s important to note that the capital gains exemption ($971,190 in 2023) is only available to individuals rather than corporations, including holding companies. Holding companies themselves do not qualify for the capital gains exemption because they are not considered individuals for tax purposes. In the above car wash company example, if the holding company acquires the shares, the owner will not be qualified to claim the LCGE when selling the company shares in future.

2. Increased complexity and administrative burden: Holding companies often require additional paperwork, legal formalities, and ongoing administrative tasks such as maintaining separate financial statements and records for each subsidiary. This can result in increased complexity and administrative burden compared to a simpler business structure.

3. Costs of establishment and maintenance: Establishing and maintaining a holding company may involve additional costs, such as legal fees, accounting services, and registration fees. These costs can vary depending on the complexity of your structure and the level of professional assistance required.

4. Limited liability protection: While a holding company can provide some protection for your assets, it does not offer absolute immunity from legal claims or liabilities. There may still be situations where creditors or claimants can pierce the corporate veil and hold the holding company liable for the debts or actions of its subsidiaries.

5. Restrictions on loss utilization: Holding companies may face restrictions on utilizing losses incurred by their subsidiaries. The ability to offset profits of one subsidiary with losses from another may be limited or subject to certain conditions and regulations. A reorganization including amalgamation or wind-up may resolve this problem.

Having a holding company is a big decision, it might involve restructuring of your current corporate structure, careful tax planning is required before taking any action. Please consult Streamline Accounting Professional Corporation if you have any questions.

If you have any questions, please reach out and book an appointment with our team.