The $10M Tax Bill When A Business Owner Dies
How one founder built a $50M company but left his family exposed to over $10 million in tax, probate delays, and succession chaos due to missing estate planning.
📥 Free resources from this episode
Estate Planning Checklist for Business Owners
The Advisors TableEstate Planning Checklist for Business Owners
Calculate business value, ACB, capital gains tax, probate fees, and LCGE eligibility to estimate what your family could owe after your death.
Show Notes
In this episode, we unpack a real-life estate planning crisis: Robert Hale, a 78-year-old founder who built a $50M company – but never built a plan around it.
A sudden health scare exposed a devastating truth: if Robert died today, his estate would owe over $10 million in tax, his business would be frozen in probate, and his family – all non-residents – would face structural, legal, and financial chaos.
Through This Real Client Case, We Unpack:
• The hidden tax and probate risks of delayed planning
• Why non-resident heirs complicate estate planning
• The importance of wills, executors, trustees, and family communication
• The reality of post-mortem tax planning
• Why double or triple taxation often occurs after death
• How family trusts are used for succession
• The freeze, restructuring, and cleanup that ultimately saved his family's legacy
This Episode Is Essential To View For:
✓ Founders and business owners
✓ High net-worth families
✓ Professionals with children living abroad
✓ Anyone who thinks they can "plan later"
Key Topics Covered:
• How taxes on death are calculated in Canada
• Risk founders face when planning is delayed
• Hidden Tax and Probate Exposure
• Why non-resident children complicate everything
• How LCGEs get blocked by poor structures
• The 21-year deemed disposition rule for trusts
• Double and triple taxation on company shares after death
• Post-mortem tools such as pipelines, bumps, and carrybacks – and why they matter
• Executor risk and the importance of CRA clearance certificates
Full Transcript
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