Tax Law and Preserving Wealth with Mahyar Makki

Joining me this week on the podcast is Mahyar Makki, Partner – Tax, Corporate & Commercial Litigation, Class Action Litigation, at Quantum Business Law. In addition to class actions and business disputes, Mahyar’s practice involves all aspects of tax dispute resolution, commencing at the objection stage with the Canada Revenue Agency, right to the appeals stage at the Tax Court of Canada and to the Federal Court. He also works with high net worth clients for wealth preservation, estate freezes, butterfly transactions, corporate reorganizations and establishment of domestic and international trusts.

In our conversation, Mahyar describes his areas of responsibility at his firm, offers advice for business people regarding preserving their wealth, and explains butterfly transactions, purifying companies, corporate reorganizations, and international trusts. He also shares what has surprised him the most in dealing with the CRA, the low point he has experienced pursuing his career, his advice for those looking to open their own business, and how he saves, invests and protects his income. Our interview draws to a close with Mahyar providing his definition of, and plan to achieve, financial independence, and, at his request, I offer mine as well. Our conversation is a wide ranging and fascinating one, but all listeners should realize that Mahyar’s comments here today do not represent recommendations, and anyone thinking of tax law should seek their own personal advisors before implementing any of the topics discussed in the podcast.

Listen to the Podcast – Download the Transcript

Highlights:

Mahyar’s main advice for business people regarding preserving wealth is to implement creditor proofing, succession planning, and tax savings.
Setting up an international trust for your family gives an extra layer of protection from creditors.
His advice for those looking to open their own business is to set the foundations of how you’re organizing your company early on, and to not give up on whatever you want to do.
Mahyar invests in stocks and real estate, and always puts money toward his TFSA.
He believes that true financial independence buys you time to do those things you want to do.

Quotes:

“You’ve built your whole life building wealth for you and your family. One of the things you can do is creditor proof.”

“They call it butterfly because the transaction will go back and forth, back and forth, and it creates a butterfly effect.”

“When I got anything from the CRA, I would always take it at face value, and I’d say, “I owe this much.” I wouldn’t even double-check it. I think that’s what most people do. And through my experiences I’ve learned, that’s not always true.”

“Truly not having to show up to work if you don’t have to. I think that’s financial independence, is buying time.”