Author: Bader A. Chowdry, CPA, CA, LPA

The annual year-end tax planning checklist for Canadian owner-manager CCPCs in 2026 — salary vs dividend mix, RRSP $33,810 and TFSA $7,000 room, bonus accrual 180-day rule, capital loss harvesting, CDA payouts, prescribed-rate spousal loans at 3%, LCGE $1,275,000 crystallization, and December-31 deadlines. By Bader A. Chowdry, CPA, CA, LPA.

T1135 is Canada’s mandatory foreign property reporting form for residents holding specified foreign property with a total cost over $100,000 CAD at any point in the year. Penalties for late or unfiled returns range from $2,500 to $24,000, with 5% of asset value for sustained non-compliance. The 2026 thresholds, simplified vs detailed reporting, and the VDP relief path from Insight Accounting CPA Professional Corporation.

Every Canadian trust hits a deemed disposition under paragraph 104(4)(b) on its 21st anniversary — taxing accrued capital gains as if all capital property were sold at fair market value. Budget 2025 amended subsection 104(5.8) to capture indirect trust-to-trust transfers. The 2026 planning playbook from Insight Accounting CPA Professional Corporation.

Bill C-15 repealed the federal Underused Housing Tax for 2025 and later years. But 2022–2024 returns and penalties still apply, foreign owners and non-Canadian corps still file, and provincial and municipal vacancy taxes are unaffected.