9,075
edits
Difference between revisions of "Four Key Duties of a Fiduciary"
Jump to navigation
Jump to search
Four Key Duties of a Fiduciary (view source)
Revision as of 20:51, 19 March 2018
, 20:51, 19 March 2018→Don’t give or loan Martina’s money to yourself or others
Drew Jackson (talk | contribs) |
Drew Jackson (talk | contribs) |
||
| Line 45: | Line 45: | ||
You can make a gift or loan from Martina’s property if the enduring power of attorney says you can. Still, be very cautious. For example, make sure that any gifts do not increase or complicate Martina’s taxes or change her plans to give away her property when she dies. | You can make a gift or loan from Martina’s property if the enduring power of attorney says you can. Still, be very cautious. For example, make sure that any gifts do not increase or complicate Martina’s taxes or change her plans to give away her property when she dies. | ||
Any gifts or loans should be in line with what Martina would have wanted. For example, Martina may have made some regular gifts or loans, such as to a preferred charity. You can continue this, as long as: | Any gifts or loans should be in line with what Martina would have wanted. For example, Martina may have made some regular gifts or loans, such as to a preferred charity. You can continue this, as long as '''both''' of these conditions are met: | ||
# Martina will have enough remaining to meet her personal care and health care needs as well as those of her dependants, and to satisfy any other legal obligations. | # Martina will have enough remaining to meet her personal care and health care needs as well as those of her dependants, and to satisfy any other legal obligations. | ||
# You don’t spend over a certain amount. Under [http://canlii.ca/t/8p5w the law], there is a maximum value of all gifts and loans of this type that an attorney can make in one year. The maximum is the smaller amount as between (a) $5,000 and (b) 10% of the adult's taxable income for the previous year. | # You don’t spend over a certain amount. Under [http://canlii.ca/t/8p5w the law], there is a maximum value of all gifts and loans of this type that an attorney can make in one year. The maximum is the smaller amount as between (a) $5,000 and (b) 10% of the adult's taxable income for the previous year. | ||
For example, let’s say Martina’s taxable income for a year is $20,000. 10% of that amount would be $2,000. That amount is smaller than $5,000. So $2,000 would be the total maximum value of all gifts and loans (of the type Martina regularly made) you could make in the following year. | For example, let’s say Martina’s taxable income for a year is $20,000. 10% of that amount would be $2,000. That amount is smaller than $5,000. So $2,000 would be the total maximum value of all gifts and loans (of the type Martina regularly made) you could make in the following year. | ||
===Don't pay yourself unless the power of attorney allows it=== | ===Don't pay yourself unless the power of attorney allows it=== | ||