View Full Version : 8GM-taxation Study Notes

10-14-2002, 12:07 AM
What kind of questions do you think they might ask from those three?

10-14-2002, 11:18 AM
Probably something like:

"The Chief Accountant at your company has asked you to prepare a report detailing the differences between the USA's and Canada's approach to taxation of Life and Health Insurance products. He would like you to specify all of the legislative changes that took place during the 1980's and 1990's, and provide a complete list of bill numbers and IRC section numbers.

Outline your report".

Not Mike
10-19-2002, 02:07 PM
Reviving this thread...

So, if they did ask to compare and contrast the treatment of ER-provided benefits for US and Canada, what would you consider to be the differences? Here's what I think (and I'm not writing the similarities because it would take too long):

- Group Term Life isn't capped (for tax ded purposes) at 50K in Canada
- Dependent Life prem isn't tax ded for ER in US
- I believe that you can defer some compensation in Canada (with restrictions)

What else am I missing? The US note mentions that premiums for disability and AD&D aren't tax deductible (I believe that they are referring to individuals), and I don't know if this is the case in Canada.

What's the deal with death benefits? I don't have the section in front of me, but it seems like there is some double talk on the US side. I've read where death benefits aren't taxable, but then they also mention death benefits when referring to estate taxes and "gift taxes." What is that all about?