Liberals to change passive-income plan

OTTAWA – The federal government is moving to pare down its controversial tax proposal on passive income so that it will only affect three per cent of private corporations.

Quotes in the article

532440


0000


ISPVX


TSP60

Finance Minister Bill Morneau will be in New Brunswick on Wednesday to unveil changes to his passive investment proposal so that it only targets unfair tax advantages used by the wealthy, a senior government official told The Canadian Press.

The official, speaking on condition of anonymity ahead of the announcement, said Morneau will also share updated estimates showing there’s between $200 billion and $300 billion in assets sitting in the passive investment accounts of just two per cent of all private corporations.

The finance minister will also point out that the dollar figure has been growing by $16 billion per year as wealthy incorporated individuals reap what the official described as unlimited benefits from tax-advantaged savings accounts over and above RRSPs and TFSAs, the official said.

The government wants to prevent all of this cash, which it contends is not being reinvested into the businesses or the economy, from piling up in these savings portfolios over generations, the official added.

The tweak to Morneau’s original proposal comes after an onslaught of complaints that warned cracking down on passive investments could adversely affect middle-class entrepreneurs who use their companies to save for economic downturns, sick leaves and parental leaves.

Morneau will provide more details

Article source: http://www.msn.com/en-ca/money/topstories/liberals-to-change-passive-income-plan/ar-AAtEuWr?srcref=rss

This company’s robots are making everything—and reshaping the world

Fanuc Corp's biggest robot 'M-2000iA/2300' is seen at the 28th Japan International Machine Tool Fair in Tokyo, Japan, November 17, 2016.© REUTERS/Toru Hanai
Fanuc Corp’s biggest robot ‘M-2000iA/2300’ is seen at the 28th Japan International Machine Tool Fair in Tokyo, Japan, November 17, 2016.

(Bloomberg Businessweek) — The headquarters of Fanuc sit in the shadow of Mt. Fuji, on a sprawling, secluded campus of 22 windowless factories and dozens of office buildings. The grounds approach the lower slopes of Japan’s most famous peak, encircled by a dense forest that Fanuc’s founding CEO, Seiuemon Inaba, planted decades ago to shield the company’s operations from prying eyes—an example of the preoccupation with secrecy that once led Fortune to compare him to a bond villain.

Quotes in the article

FANUY


GM


AAPL


FJTSY

Since taking over as chairman and chief executive officer in 2003, Inaba’s son, Yoshiharu, has continued the tradition of privacy. He takes questions from investors only twice a year, wearing a blazer in the lemon yellow the company uses to brand the factory automation robots it produces, the factories its robots work in, its employees’ uniforms, and the company cars that shuttle engineers and executives around the neighboring village of Oshino.

The elder Inaba once explained this uncharacteristically loud touch by calling yellow “the emperor’s color.” It also helps security guards quickly

Article source: http://www.msn.com/en-ca/money/companies/this-company%E2%80%99s-robots-are-making-everything%E2%80%94and-reshaping-the-world/ar-AAtFEl0?srcref=rss

Trump’s fortune drops by $600 million to $3.1 billion


NAFTA’s potential end is a wake-up call for Canada

Some of the most vibrant agri-food economies in the world have been proactively engaged on the global stage in order to give their agri-food sector a sense of purpose, writes Sylvain Charlebois. Meanwhile, as the rest of the world progresses, we continue to support cartel-esque agencies to support commodity groups like dairy, eggs, poultry, maple syrup and many other sectors.© Jacques Boissinot
“Some of the most vibrant agri-food economies in the world have been proactively engaged on the global stage in order to give their agri-food sector a sense of purpose,” writes Sylvain Charlebois. “Meanwhile, as the rest of the world progresses, we continue to support cartel-esque agencies to support commodity groups like dairy, eggs, poultry, maple syrup and many other sectors.”

Editor’s note: The opinions in this article are the author’s, as published by our content partner, and do not represent the views of MSN or Microsoft.

Quotes in the article

MSFT


0000


ISPVX


TSP60

Despite Canada’s optimism, NAFTA talks seem to be heading nowhere. Wanting to push back on Mexico’s influence over the American economy, Washington is now indicating that the bilateral option with Canada is more appealing.

In Donald Trump’s playbook, multilateral deals are highly complex and can only benefit smaller markets to a greater degree. Bilateral deals are perceived as being more predictable, as they make it easier to

Article source: http://www.msn.com/en-ca/money/topstories/nafta%E2%80%99s-potential-end-is-a-wake-up-call-for-canada/ar-AAtEwhg?srcref=rss

What the new mortgage rules mean for homebuyers

mortgage math© Used with permission of / © Rogers Media Inc. 2017.
mortgage math

Today, the Office of the Superintendent of Financial Institutions (OSFI) introduced new rules on mortgage lending to take effect next year.

Quotes in the article

RY


0000


ISPVX


TSP60

OSFI is setting a new minimum qualifying rate, or “stress test,” for uninsured mortgages (mortgage consumers with down payments 20% or greater than their home price).

The rules now require the minimum qualifying rate for uninsured mortgages to be the greater of the five-year benchmark rate published by the Bank of Canada (presently 4.89%) or 200 basis points above the mortgage holder’s contractual mortgage rate. “The main effect will be felt by first-time buyers,” says James Laird, co-founder of Ratehub.ca. “No matter how much money they put down as a down payment, they will have to pass the stress test.” The effect of the changes will be huge, resulting in a 20% decrease in affordability, meaning a first-time homebuyer will be able to buy 20% less house, explains Laird.

MoneySense asked Ratehub.ca to run the numbers on two likely scenarios and find out what it would mean for a family’s bottom line. Here’s what they found:

SCENARIO 1: Bank of Canada five-year benchmark qualifying rate

In this case, the family’s mortgage rate, plus 200 basis points, is less than the Bank

Article source: http://www.msn.com/en-ca/money/topstories/what-the-new-mortgage-rules-mean-for-homebuyers/ar-AAtEyxE?srcref=rss