
Analysis has been published that suggests that the Conservative Party election promise of removing capital gains tax on reinvested capital. Some say it is a policy that will remove the tax deferral advantages of registered retirement savings accounts. It might also make some income trusts more attractive.
iTrust Institute is studying the key features, perceived potential & benefits of income trusts starting from the premise that:
Equities managed and structured like income trusts to flow net gains through to owners by way of frequent and regular distributions of cash can offer superior rates of overall return, support market growth, enhance economic productivity and contribute to growth of the tax base with less risk than other equities given honest managers and a fully competitive market supported by open communications.
We will test this notion and explore related questions.