AFM362 Chapter Notes - Chapter 12: Income Property, Property Income, Personal Services
16 Dec 2018
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General rate income pool (grip): represents income taxed at the high corporate rate in all public corporations. Private corporations may also have grip if they did not receive the. Sbd or received a grip dividend from another corporation. Low rate income pool (lrip): represents income taxed at the low corporate rate in. Active business income (abi): income from an adventure in the nature trade (the primary revenue generating activity of the ccpc ). Equals business income less both of personal services business income and specified investment business income. Specified investment business (sib): a business for which the principal purpose is to derive income from property (including interest, dividends, rents, and royalties) , unless the corporation employs throughout the year more than five full-time employees. A sib is not eligible for the sbd or the grr. Personal services building (psb): can be thought of as an incorporated employee. Defined as a business providing services where :
