Jan 8, 2018 – your losses when you sell any shares of small business corporations to a person with whom you deal at arm's length. For more information, see Allowable business investment loss (ABIL); and. any disposition of qualified small business corporation shares if you elect to defer the capital gains that resulted from it.

Shares of a qualified small business corporation (QSBC) continue to qualify for the capital gains deduction. To qualify as a QSBC, a company must be a Canadian- controlled private corporation and at least 90% of its assets must be used in an active business in Canada.

Qualified Small Business Corporation Shares. Income Tax Act Subsection 110.6(1) and 110.6(2.1). In order to claim the lifetime capital gains exemption on a share sale, the shares must meet certain conditions to qualify for the special treatment. If the shares qualify, then the seller would be able to use his or her LCGE, and …

In order to qualify as a “small business corporation”, it is required that: (a) The corporation be a Canadian-controlled private corporation (“CCPC”); and (b) All or substantially all of the fair market value of the assets of which were used in an active business carried primarily in Canada.

Oct 5, 2017 – TaxTips.ca – $800000+ (indexed) lifetime capital gains exemption for qualified small business corporation (SBC) shares. … fair market value of the assets of the corporation must have been used principally in an active business carried on primarily in Canada by the corporation or a corporation related to it.

used mainly in an active business carried on primarily in Canada by the Canadian-controlled private corporation, or by a related corporation;; certain shares or debts of connected corporations; or; a combination of these two types of assets; and. throughout the 24 months immediately before the share was disposed of, …

Be shares in a Canadian-controlled small business corporation that, at the time the shares are disposed of, uses at least 90% of its assets in an active business carried on primarily in Canada (or in a subsidiary that does so). Be owned by an individual taxpayer, a partnership related to the taxpayer or a trust for individual …