On February 6 th Ward & Uptigrove provided communication to clients regarding the CRA’s plan shift to online correspondence for all businesses in the spring of 2025. A formal announcement with further details was provided by CRA on May 12 th . This announcement means that all businesses will need to update their communication preferences either through their CRA My Account or by submitting the new Request to Activate Paper Mail form, further details on both are provided below. These changes can have a significant impact on your business taxes, therefore we encourage clients to take time to read this letter as it provides important information. Why is CRA Defaulting to Online Mail CRA believes that online mail allows business owners to securely and conveniently receive CRA correspondence faster than paper mail. CRA also expresses the positive environmental impact of removing paper waste. What do you need to know Starting on May 12, 2025, online mail will be the default method of communication for all businesses either registering a new business number or creating a new specific program account for an existing business such as HST or Payroll. For existing businesses and program accounts, these changes come into effect on June 16, 2025. Existing businesses that do not have online access either through My Business Account or through their authorized representatives such as Ward & Uptigrove via the Represent a Client service may be exempt, however for many of our clients this will not be the case. CRA will not send notifications to authorized representatives, as such Ward & Uptigrove will not be monitoring your CRA online mail. How will this affect businesses Any correspondence posted to your CRA My Account is considered received the moment it appears. If your email address is not up to date, you will not receive notifications. Therefore, to avoid missing critical correspondence you will need to check your CRA account at least every two weeks, more frequently if you’re under audit, review, or have other ongoing matters with the CRA. Missing CRA correspondence could lead to significant consequences, such as interest, penalties, or large, unexpected tax assessments. For example, there are strict time frames the CRA provides for you to be able to provide information or object to an assessment – if these time frames lapse then you may be unable to object to the assessment. For businesses, efficient monitoring of the My Business Account portal will become an operational necessity starting in 2025 and will be an important responsibility for every business owner. Updating CRA Notifications Update your notification preferences through your My Business Account with CRA. CRA_Notification_Preferences.pdf If you do not have a My Business Account, then an individual with signing authority must make a request by completing and submitting the newly created form RC681 to CRA via mail or fax for each business number. A form must also be submitted for every new business number or for the creation of a new specific program account such as HST or Payroll. Note: The RC681 does expire and will need to be resubmitted to CRA every two years. There will also be a transition period where businesses will only receive online correspondence until CRA can process the RC681 forms submitted. Therefore, it will be important to continue to monitor your online correspondence during this transition period. Important Steps Register for My Business Account if you haven’t already. How_to_Create_a_CRA_Account.pdf If you wish to continue to have paper mail, you can either update your Profile through My Business Account or Submit Form RC681 – Request to Activate Paper Mail for Business. A fillable PDF version is available here: o https://www.canada.ca/en/revenue-agency/services/forms-publications/forms/rc681.html Log into your My Business Account on a regular basis to ensure that you do not miss important correspondence from CRA Update your email address with CRA under My Business Account and ensure that you are set up to receive notifications To read the May 12 th CRA communication please visit: https://www.canada.ca/en/revenue-agency/services/e-services/digital-services-businesses/business-account/about-business-account/online-mail-for-business.html

As we near the end of Tax Season, please note our office hours below: Hours until April 29th Mon, Tues, Weds, Fri: 8:30 am - 5:30 pm Thursday: 8:30 am - 8:00 pm Saturday: 9:00 am - 12:00 pm Sunday: Closed Hours on April 30th 8:30am – 5:00pm Hours May 1st – May 2nd Closed Hours beginning May 6th Monday – Thursday: 8:30am – 5:00pm Friday: 8:30am – 4:30pm

We are thrilled to announce Ward & Uptigrove was selected as a recipient of the Southwestern Ontario's Top Employers Award for 2025. The award is based on the following criteria: 1. Workplace, 2. Work Atmosphere and Social, 3. Health, Financial and Family Benefits, 4. Vacation and Time-Off, 5. Employee Communications, 6. Performance Management, 7. Training and Skills Development, 8. and Community Involvement! Here are some of the reasons why Ward & Uptigrove was selected as one of Southwestern Ontario's Top Employers (2025): Ward & Uptigrove increased its full-time workforce in Canada by over 13 per cent in the past year and lets everyone benefit in the company's success with profit-sharing -- the company also offers generous referral bonuses of up to $5,000 per successful candidate as an incentive for employees to recruit friends Ward & Uptigrove hosts three major social events each year, giving employees the opportunity to unwind and connect with food, beverage and entertainment covered by the firm's partners -- events include a post-tax season party (employees plus a guest), a fall golf tournament, and an annual holiday celebration Ward & Uptigrove matches employee donations in kind, and encourages them to lend a helping hand in the community with a paid day off to volunteer Emily MacRobbie, Human Resources Manager at Ward & Uptigrove, says clients appreciate the close connections and sense of care their small-town environment fosters. “We’re big enough to attract and retain some of the best and brightest minds in the industry, while simultaneously being small enough that staff and clients are known on a more personal level,” says MacRobbie. “Employees really appreciate the flexibility the firm offers, such as work location (in office or hybrid) and hours of work arrangements. We keep a pulse on what’s happening and make sure we remain competitive with things like paid time off and flexible health benefits.” To learn more about career opportunities at Ward & Uptigrove visit www.wardanduptigrove.com/careers

Our team has assembled the most relevant and recent tax, business, and agriculture updates for you in this season's newsletter.

Buying your first home has never been so intimidating or expensive. The market is at an all time high, many homes are entertaining multiple offers, selling well over their asking price, and now, interest rates are beginning to rise. If you’re looking to enter the market for the first time, you’re going to want to use every resource at your disposal, whether that’s government programs or professional guidance, or preferably both. Knowledge is power, so let’s discuss several incentives and programs available to help you reach your goals. 

Accounting

When contemplating the next steps for your corporate ownership and succession planning, maintaining fairness among family members is often a main priority even though all families members may not be involved in the business. One crucial aspect often overlooked is estate equalization, particularly in family-owned or closely-held businesses. Unequal distributions of wealth can lead to the business being forced to sell necessary business assets, jeopardizing the future viability of the core operations and business altogether. However, with strategic planning and the implementation of corporate life insurance, businesses can ensure equitable outcomes while safeguarding ongoing business sustainability. Understanding Estate Equalization Estate equalization refers to the process of balancing inheritances among heirs, particularly when certain assets, such as business interests, are illiquid or disproportionately valuable. In the context of corporate ownership, ensuring fair vs equitable distributions becomes more complex due to the interplay of family dynamics, business operations, sweat equity and financial considerations. Without proper planning, disparities in inheritances can cause families disputes and undermine the integrity of the business.

On April 16, 2024, the Deputy Prime Minister and Finance Minister, the Honourable Chrystia Freeland, presented Budget 2024 – Fairness for Every Generation , to the House of Commons. No changes were made to personal or corporate tax rates. Some highlights include: A. Personal Measures Increase to the capital gains inclusion rate to 2/3, however individuals will retain the 1/2 inclusion rate on the first $250,000 of capital gains annually. Increase to the lifetime maximum capital gains exemption, and two new incentives on specific types of business sales. Modifications to the proposed amendments to focus the alternative minimum tax regime on high-income individuals. B. Business Measures Canada carbon rebate for small businesses that will begin by delivering payments to eligible CCPCs for five years of carbon tax. Accelerated capital cost allowance on purpose-built residential rental properties. Immediate expensing of certain productivity-enhancing assets, including computer hardware, acquired on or after April 16, 2024. C. International Measures Crypto-asset reporting framework that will require annual reporting by crypto-asset service providers on their clients’ activities using these assets.

On April 5, 2024, an unprecedented fine was levied towards a corporation and its director for violation of the Occupational Health and Safety Act . The corporation was fined $600,000 and the director was fined $80,000, plus a 25% victim surcharge. These are highest fines levied both towards a corporation, and to an individual for a single charge in Canadian history, and is further evidence that governing bodies are serious about enforcing legislation to protect workers and prevent further fatalities and injuries. What can we learn from this? 1. Chemical handling protocols are critical for reducing risk in the workplace. In this case, diesel fuel and gasoline were unintentionally mixed, causing an increased flammable hazard. Ultimately, this mistake resulted in catastrophic explosions and fires that caused the death of 6 people and serious injury of another. 2. Directors are being held increasingly accountable for the workers under their care; specifically, for oversight of middle management/supervisors and ensuring hazards are identified and controlled. While consistent with their legislated duties under the Act, historically directors have not been the target of large fines and charges. Instead, the penalties were previously levied toward front line supervisors and staff. This reflects the growing understanding that senior directors have the most accountability for the workplace and workers, and that they have a duty to know what is happening in their organization. 3. Senior leaders need to have open communication and trust with their workforce to ensure candid and frequent flow of information. Leaders won’t know what is happening, and therefore cannot take action to address risk if the workforce is fearful or apprehensive about reporting their concerns. Consider who in your workplace provides this information and to whom. If you are a leader, what questions should you be asking and what to you need to know? Do you believe that staff are open and honest, without fear of repercussions when delivering bad news? Is there a clear and accessible process for reporting, tracking, and resolving issues? 4. Workplace culture is built from the top. Leaders are responsible for establishing systems and structures that support a culture that prioritizes worker safety. Blame-centered culture reinforces our natural instinct of self preservation over disclosure; silence and secrecy over candor and open communication. Also, actions mean more than words. Leaders need to ensure actions and directives echo policy statements, and vice versa. So, what can you do? Ensure that you have an environment where staff feel comfortable reporting issues, where supervisors and managers appreciate staff input and take action to address these concerns. Having little or no reported concerns is a red flag and is a prime indicator that staff do not understand or feel comfortable reporting issues. Ensure that staff are trained about the specific tasks and hazards in your workplace, not just general safety measures, and equip supervisors and managers with the tools and knowledge they need to be successful and manage the workers under their care. To read more about the incident, the Ministry of Labour, Labour, Immigration, Training and Skills Development has published a court bulletin: https://news.ontario.ca/mlitsd/en For any assistance or answers about how you can bolster your health and safety systems and due diligence, contact our resident safety expert Jennifer Goertzen, CRSP .