Intergenerational Business Transfers

Amendments to the rules that facilitate the intergenerational transfer of qualified small business corporation shares (QSBC) and shares of the capital stock of a family farm or fishing corporation shares to a corporation owned by the vendor’s child/grandchild have been proposed to restrict these transactions to genuine intergenerational business transfers (IBTs). Specific eligibility requirements focused on transferring ownership, management and control of the business have been added. These amendments would be effective for share sales occurring on or after January 1, 2024.