Financial reporting and accounting advisory services
You trust your external auditor to deliver not only a high-quality, independent audit of your financial statements but to provide a range of support, including assessing material risks, evaluating internal controls and raising awareness around new and amended accounting standards.
Accounting Standards for Private Enterprises
Get the clear financial picture you need with the accounting standards team at Grant Thornton LLP. Our experts have extensive experience with private enterprises of all sizes in all industries, an in-depth knowledge of today’s accounting standards, and are directly involved in the standard-setting process.
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Whether you are already using IFRS or considering a transition to this global framework, Grant Thornton LLP’s accounting standards team is here to help.
Accounting Standards for Not-for-Profit Organizations
From small, community organizations to large, national charities, you can count on Grant Thornton LLP’s accounting standards team for in-depth knowledge and trusted advice.
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Tax planning and compliance
Whether you are a private or public organization, your goal is to manage the critical aspects of tax compliance, and achieve the most effective results. At Grant Thornton, we focus on delivering relevant advice, and providing an integrated planning approach to help you fulfill compliance obligations.
Research & development, government incentives
Are you developing innovative processes or products, undertaking experimentation or solving technological problems? If so, you may qualify to claim SR&ED tax credits. This Canadian federal government initiative is designed to encourage and support innovation in Canada. Our R&D professionals are a highly-trained, diverse team of practitioners that are engineers, scientists and specialized accountants.
Keeping track of changes and developments in GST/HST, Quebec sales tax and other provincial sales taxes across Canada, can be a full-time job. The consequences for failing to adequately manage your organization’s sales tax obligations can be significant - from assessments, to forgone recoveries and cash flow implications, to customer or reputational risk.
US corporate tax
The United States has a very complex and regulated tax environment, that may undergo significant changes. Cross-border tax issues could become even more challenging for Canadian businesses looking for growth and prosperity in the biggest economy in the world.
Cross-border personal tax
In an increasingly flexible world, moving across the border may be more viable for Canadians and Americans; however, relocating may also have complex tax implications.
While there is great opportunity for businesses looking to expand globally, organizations are under increasing tax scrutiny. Regardless of your company’s size and level of international involvement—whether you’re working abroad, investing, buying and selling, borrowing or manufacturing—doing business beyond Canada’s borders comes with its fair share of tax risks.
Transfer pricing is a complex area of corporate taxation that is concerned with the intra-group pricing of goods, services, intangibles, and financial instruments. Transfer pricing has become a critical governance issue for companies, tax authorities and policy makers, and represents a principal risk area for multinationals.
Succession & estate planning
Like many private business owners today, you’ve spent your career building and running your business successfully. Now you’re faced with deciding on a successor—a successor who may or may not want your direct involvement and share your vision.
Tax Reporting & Advisory
The financial and tax reporting obligations of public markets and global tax authorities take significant resources and investment to manage. This requires calculating global tax provision estimates under US GAAP, IFRS, and other frameworks, and reconciling this reporting with tax compliance obligations.
Our transactions group takes a client-centric, integrated approach, focused on helping you make and implement the best financial strategies. We offer meaningful, actionable and holistic advice to allow you to create value, manage risks and seize opportunities. It’s what we do best: help great organizations like yours grow and thrive.
We bring a wide range of services to both individuals and businesses – including shareholders, executives, directors, lenders, creditors and other advisors who are dealing with a corporation experiencing financial challenges.
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Viruses. Phishing. Malware infections. Malpractice by employees. Espionage. Data ransom and theft. Fraud. Cybercrime is now a leading risk to all businesses.
Running a business is challenging and you need advice you can rely on at anytime you need it. Our team dives deep into your issues, looking holistically at your organization to understand your people, processes, and systems needs at the root of your pain points. The intersection of these three things is critical to develop the solutions you need today.
Updates for creditors, limited partners, investors and shareholders.
ASPE Sec. 3041 Agriculture Understanding and applying the new ASPE Section 3041 AgricultureThe Canadian Accounting Standards Board (AcSB) has released new guidance on recognizing, measuring and disclosing biological assets and the harvested products of bio assets.
Tax alert Agricultural Clean Technology ProgramThe Agricultural Clean Technology Program will provide financial assistance to farmers and agri-businesses to help them reduce greenhouse gas (GHG) emissions.
Tax alert ACT Program – Research and Innovation Stream explainedThe ACT Research and Innovation Stream provides financial support to organizations engaged in pre-market innovation.
Tax alert ACT Program – Adoption Stream explainedThe ACT Adoption Stream provides non-repayable funding to help farmers and agri-business with the purchase and installation of clean technologies.
Builders And Developers
Every real estate project starts with a vision. We help builders and developers solidify that vision, transform it into reality, and create value.
Rental Property Owners And Occupiers
In today’s economic climate, it’s more important than ever to have a strong advisory partner on your side.
Real Estate Service Providers
Your company plays a key role in the success of landlords, investors and owners, but who is doing the same for you?
There’s no business quite like mining. It’s volatile, risky and complex – but the potential pay-off is huge. You’re not afraid of a challenge: the key is finding the right balance between risk and reward. Whether you’re a junior prospector, a senior producer, or somewhere in between, we’ll work with you to explore, discover and extract value at every stage of the mining process.
Oil & gas
The oil and gas industry is facing many complex challenges, beyond the price of oil. These include environmental issues, access to markets, growing competition from alternative energy sources and international markets, and a rapidly changing regulatory landscape, to name but a few.
The proposed introduction of a new tax on certain properties in BC is intended to drive down soaring prices and push more housing stock onto the rental market. However, uncertainty surrounding the details of a plan that could significantly impact a substantial segment of the provincial economy is causing concern among developers and property owners.
The BC Speculation Tax, announced in the province’s 2018 budget, targets the owners of unoccupied residential properties, with a particular emphasis on foreign and out-of-province residents currently paying little or no income tax in the province. According to the information provided to date by the BC government, the tax is intended to curb inflation in the residential real estate market in the province’s largest urban centres by levying additional costs on so-called speculators to “push them out of the market.”
The proposed tax will apply to properties that fail to meet occupancy requirements in select urban areas,including: the Metro Vancouver Regional District, the Capital Regional District, Kelowna and West Kelowna, Nanaimo-Lantzville, Abbotsford, Chilliwackand Mission. The province intends to apply the tax as a single 0.5% flat rate on the property’s value for all owners of such properties in 2018, but starting in 2019, rates may be scaled depending on whether an owner is a B.C. resident (0.5%), domestic owner (1%) or foreign owner (2%). Exemptions are expected to be applied where the property is being used as a qualifying long-term rental, the owner is undergoing long-term care or temporarily away for work, or the property is being administered following the death of the registered owner. Full offsets of the tax by way of a tax credit may also be available in certain cases where a resident of BC, who is not a member of a satellite family, owns a second residence with an assessed value of $400,000 or less.
Although intended to be retroactive to the beginning of 2018, the legislation for the tax is not expected to be tabled until the fall, and this lack of detail is creating uncertainty for taxpayers around the potential implications and hindering their ability to organize their affairs in an effective manner. We do know that it is expected to raise $200 million per year starting in 2019, and that information provided to date indicates it will function more like an asset tax, impacting property owners and real estate developers in the designated areas.
Uncertainty clouding real estate markets
Those that own property in the affected areas or that may be interested in buying into these locations will be watching closely. The real estate industry is expressing concern that uncertainty about the tax may be eroding confidence in real estate markets throughout the province, contributing to a downward trend in property in the region. Since the measure was announced there has been a drop off in single family home sales and decreased prices as the markets experience the compound effect of the tax coupled with rising interest rates and more restrictive mortgage requirements. Supply hit a three year high in June, but sales were down 37.7% versus June 2017 – suggesting the effects of the tax are already being felt, even ahead of its implementation.
In the recreational home market, where the province would ordinarily have a number of competitive advantages, BC is one of only three regions in Canada expected to experience a depreciation in values, particularly if the tax pushes prospective buyers to invest elsewhere. Residents in the neighbouring province of Alberta, for example, are expected to move recreational spending back to their home province and sell properties in B.C. This is significant because Albertans represent one of the largest groups of recreational property purchasers in the province.
With markets in doubt, developers become cautious
The speculation tax also has implications for the real estate development sector – developers facing uncertain market demand are putting projects on hold or cancelling them altogether – with potential ripple effects throughout local economies. Residential construction is an important growth driver for the province, accounting for $19.9 billion of its GDP in 2017 and providing more than 199,000 jobs, $11.9 billion in wages and $25 billion in investment value.
Developers are also seeking to clarify another area of uncertainty that that would affect them directly: whether the new levy will apply to bare land earmarked for future development. It’s common for developers to hold on to residential sites for future use, and if bare land was subjected to the new tax, it would add an extra layer of cost to whatever type of housing was eventually built. The Urban Development Institute estimates that additional taxes – which include the speculation tax and school levies – would add $20,000 to $46,000 for every housing unit. The additional regulatory burden is also a consideration that could increase new housing costs. The development sector in Metro Vancouver has asked for an exemption from the tax, but it remains unclear whether the legislation will include such an exemption.
At the same time, the tax could create headwinds for developers seeking financing for future projects, as a reduction in the addressable market – the cohort of potential secondary owners – could change the calculations for lenders and investors
Don’t let uncertainty guide your actions
Ultimately, the full impact of the tax won’t be known until legislation is introduced, debated and enacted. In the meantime, uncertainty creates risks for businesses and individuals with an interest in the BC real estate market. Your Grant Thornton advisor is following developments in this area closely and can help you understand these risks, quantify what they may mean from your individual financial perspective, and formulate effective strategies to address them.