Byrd & Chen's Canadian Tax Principles, 2023-2024 Edition, 1st edition

For courses in taxation.

Consistent with the title of this textbook, our objective is to instill a solid understanding of the basics of income tax and GST/HST through an appreciation of the tax principles, concepts, and unique vocabulary that make up the framework upon which the Canadian tax system has been built. This level of understanding is not solely directed at a theoretical or academic level; considerable emphasis is placed on practical everyday situations in preparation for careers where an understanding of tax in some form will be helpful at a minimum and essential at best.

The textbook will provide you with the elementary tools necessary to develop an awareness to help identify, analyze, and apply the tax law to a wide range of subjects ranging from determining the income tax liability or refund of individuals earning employment income, carrying on a business, earning investment income, identifying potential income tax benefits directed at students, investing in Tax-Free Savings Accounts (TFSAs), and understanding how the income tax law applies to corporations, trusts, and partnerships.

Hallmark features of this title

• Self-Study Problems (SSPs). These problems are more complex than the Exercises and include a number of comprehensive problems. We have marked the points within chapters where you should stop and complete each SSP. The SSPs are available on MyLab for download, in the “Chapter Resources” tab, and you’ll find the solutions in your Study Guide.
• Tax Software Assignment Problems dealing with personal tax returns are found at the end of Chapters 4 and 11. An additional Tax Software Assignment Problem, involving a corporate tax return, is located at the end of Chapter 14. Solutions to Tax Software Assignment Problems are available to instructors only. Look for updates on MyLab in the new year, as these will be updated to reflect the tax year. 
• Comprehensive Assignment Problems. These are the most challenging type of problem material in the text. They are cumulative in that they incorporate issues from previous chapters. There are two comprehensive APs per chapter in Chapters 6 through 11, found at the end of the APs in the chapter. Solutions to these problems are available to instructors only.

New and updated features of this title

• In this edition we have endeavoured to continue the process of modifying existing content to present facts and circumstances that are both practical and that students are likely to encounter in the course of their careers. In addition, and in recognition that income tax continues to evolve on an ongoing basis, we have added new content to address topics that are both relevant and current, including changes to legislation that often affect federal annual budgets and federal annual economic fiscal updates, plus other federal legislation designed to address myriad issues, most often to close tax loopholes or to override decisions of the courts that the federal government views as unacceptable.
• First Nations Peoples. As the leading introductory income tax textbook in Canada, we recognize the importance and significance of all Canadians and the unique features of the Canadian income tax system applicable to specific groups of Canadians. The ITA, for example, contains a very specific rule in ITA 87(1)(a) that provides the basis for an exemption from Canadian income tax—be it federal, provincial, or territorial—for First Nations individuals. This specific rule was not covered in introductory Canadian income tax textbooks, even though over 1 million First Nations individuals are potentially impacted. In this regard we are pleased to continue to be the first introductory textbook on Canadian income tax to devote coverage to the federal taxation issues faced by the First Nations Peoples of Canada as a result of this income tax rule. Coverage can be found in Appendix A (introduced in the 2022–2023 edition) of Chapter 11.
• Legislative Changes. Chapter by Chapter) In this post-pandemic period, the federal government has continued to provide a multitude of income tax incentives to assist in returning the Canadian economy to pre-pandemic levels. The 2023 federal budget was released on March 28, 2023; a Fall Economic Statement together with draft legislation was released together on November 3, 2022; and further draft legislation relating to many issues of a technical nature was released on August 9, 2022. While there have been other releases of draft legislation, they have not been covered by us given that the topics are beyond the scope of an introductory textbook. Many of the 2023 federal budget announcements are once again incentive based and related to addressing the high cost of housing, housing shortages, and the inflationary pressures on Canadians in buying the basic necessities of life, such as groceries and paying rent.