Passive Investment Income Calculator

August 15, 2019 | Updated January 30, 2024

The 2018 Federal Budget introduced new rules that can reduce the amount of the small business deduction available for active income earned in a corporation. The small business deduction is reduced by $5 for every $1 of passive income a corporation earns over $50,000 and is completely eliminated if the corporation earns over $150,000.

If you have business owner clients, share this Passive Investment Income Calculator with them to reveal how their corporation may be affected.

Questions? Contact your local PPI Collaboration Centre.

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Passive Investment Income Calculator

This article is for general information purposes and advisor use only. The information contained in this article must not be taken or relied upon by the advisor as legal, accounting, taxation, financial, actuarial or other advice made to them, or to any other person or firm, by PPI or any of its affiliates. Please refer to insurance company illustrations, policy contracts and information folders regarding any insurance matters referred to in this presentation. Advisors must seek independent professional advice with regard to the verification and use of the information contained in this article.