KPMG, in its TaxNewsFlash on the federal budget for 2015, writes the following about the budget promise to review the active business income rules:
The budget states that stakeholders have expressed concern about the application of these rules in cases such as self-storage facilities and campgrounds. The budget announces that the government will review the circumstances in which income from a business, the principal purpose of which is to earn income from property, should qualify as active business income and thus be eligible for the small business deduction. Stakeholders must submit comments by August 31, 2015.
For a discussion of the problem meant to be addressed by the foregoing, see Craig Burley’s discussion of 0742443 B.C. Ltd. v R, 2014 TCC 301.
