Shaping the Development of Business in Canada Essay

Shaping the Development of Business in Canada - Essay Example Additionally, Canada enjoys a better market environment that emanates from political stability and pleasant government policies on business. All these factors promote the development of business in Canada. Hence, despite the growing market competition, business in Canada is vibrant and plays a fundamental role in the economy. Foreign investment is also a significant aspect in Canadian business. Many Canadian companies have adopted a corporate strategy to venture international investment with an aim of increasing their competing advantage in the global economy (Foreign Affairs and International Trade Canada 1). Actually, the total value on Canadian foreign investment supersede that of foreign direct investment in Canada since 1997 (Lennox and Bow 150).Foreign investments in Canada promote access to overseas markets, access to more resources, reduce input costs, new technologies, and provide better support to foreign customers (Frigon 1). Indeed, foreign investment in Canada is both di rect and portfolio with both types bringing significant contribution to the Canadian economy. Actually, foreigners who enjoy the annual interest, income, and dividend payments mostly control Canadian economy. This draws the significance of foreign investment in shaping business in Canada. In addition, resultant technological advancements, new management ideas, and implementation of international trade policies will benefit and shape business in Canada. This guarantees higher productivity, increased exports and employment, superior competitiveness, and rampant growth of the Canadian economy. However, these investments are at risk of political instability, expropriation, uncertain regulations, and weak... This essay approves that the government has adopted and negotiated international agreements that govern international trade and foreign investments. For example, the government of Canada adopts a policy of negotiating and adopting the Foreign Investment Promotion and Protection Agreement that governs bilateral trade activities. Actually, Canada its FIPA model in 2003 with an objective of enhancing clarity in the substantive obligations, disciplining and improving efficiency in the dispute settlement procedures and promoting certainty and transparency in its business environment. The participation in foreign investment guarantees access to diverse markets, new technologies, reduction in input costs, and availability of business resources. These factors lead to business profitability and further business development. This report makes a conclusion that there are a number of features that would significantly shape the development of business in Canada such as Canada’s â€Å"storehouse of resources,† foreign investment, government policies, the role of entrepreneurs and family firms, big business, and banking and finance. However, though all these features are relevant and significant in this context, government policies stand out as the most significant feature. Additionally, there are various government policies relating to business regulations, financial support, international agreements, registration, licensing, and legislations that take important roles in shaping development in business. These policies are subject to changes and apply selectively. All government policies aim at developing domestic and international e- commerce in Canada.

Taxes Essay Example | Topics and Well Written Essays - 250 words

Taxes - Essay Example Using charitable trusts is another way to reduce income tax, especially for the ones who belong to high income group as these trusts help you to give charity generously, giving you a big tax break (Karayan & Swenson, 2006). At the time of selling of valuable assets, one can easily minimize Capital Gains tax with the help of one of the most secure asset protection program known as Private Annuity Tax (PAT) which minimizes even smaller properties like artwork or jewelry. When a property is transferred into PAT, it results in smaller tax expense. Another way of minimizing Capital Gains is to get an ISA (Individual Savings Account). Investors can put sufficient funds in ISA and gains made inside this account are CGT-free. Moreover, one more strategy is used which is: Investing in small companies through special tax efficient programs. In this way, one can claim for Capital Gains tax previously paid. One of the most popular vehicles used to reduce Estate tax is to ‘uniform transfer to minors’. Such type of gifting occurs where your children are minors. The gift is handed over to a guardian and when the children reach the age of majority. Marital transfers is another useful way in which assets are transferred to a surviving spouse, who should not be a non-citizen, which minimized the estate tax which is due. Lastly, Quality Family-Owned Business Interest (QFOBI) is another way in which it reduces the gross value of the state and automatically reduces the amount of estate tax which is charged on the net value of the state (Karayan, et al., 2002). I am very much hopeful that I have provided you significant and useful amount of information about the vehicles for reducing taxes and these vehicles could be regarded as substantial means for taxes