Business owners · Check 1
Does your estate have the cash for the tax on your shares?
At death, shares of a private corporation are generally treated as sold at fair market value, even though nothing was sold and no cash came in. See the estimated bill against the cash that may be there to pay it.
Your illustrative liquidity gap
Illustrative only, not a guarantee. Results may differ depending on your situation. Talk with your accountant before acting.
A second set of eyes
Your accountant knows your numbers. I work alongside them to compare options across several companies, so the plan fits your corporation.
Rates and sources (2026)
- Top combined federal and Ontario personal marginal rate, 2026: 53.53% on ordinary income over $258,482. Source: TaxTips.ca, Ontario 2025 and 2026 Tax Rates (rates confirmed to CRA information).
- Capital gains inclusion rate: 50% (one-half). The proposed increase was cancelled on March 21, 2025. Sources: Prime Minister of Canada, March 21, 2025; CRA business newsletter 2025-02.
- Lifetime capital gains exemption on qualified small business corporation shares: $1,250,000, if your shares qualify. Source: Prime Minister of Canada, March 21, 2025.
Not included: a spousal rollover (which may defer the tax to the second death), a possible second layer of tax when value is paid out of the corporation, post-mortem planning, probate fees and professional costs. These may change the result a lot depending on your situation. Talk with your accountant about spousal rollover and probate.
Rates checked November 3, 2026. You can change every rate above in the form.
See what your corporation's surplus could do
Book a short, no-cost review. I work alongside your accountant as a second set of eyes and compare options across several companies, depending on your situation.
See what your corporation's surplus could do