In particular, the budget introduces several changes that may have an important effect on financial institutions, including banks and insurance companies, such as:

  • Dividend Deduction
  • Tax on repurchases of equity
  • Pillar II — Global Minimum Tax
  • GST/HST treatment of payment card clearing services.

In addition, asset management companies may want to review the following new 2023 federal budget measures to determine how they are affected:

  • Tax on repurchases of equity
  • Alternative minimum tax for high income individuals
  • Flow-through share critical mineral exploration tax credit
  • Green innovations and incentives
  • Tax treatment of credit unions.

In addition to these measures, affected companies should also be aware of other previously announced measures that were not covered in the 2023 federal budget.

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