What Is the Difference Between Permanent Funds and Private Purpose

question 17

Essay

What is the difference between Permanent Funds and Private Purpose Trust Funds?

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Definitions:

Legal Owners

Individuals or entities that hold legal title to an asset or property.

CCA

Capital Cost Allowance, a tax deduction in Canada that represents depreciation for capital assets.

Exempt Assets

Exempt assets refer to properties or investments that are shielded from creditors during bankruptcy or legal judgments, often including a portion of the individual's home, car, and personal belongings depending on the jurisdiction.

Specified Leasing

A leasing agreement in which the terms, including the lease duration, payment schedule, and type of asset, are explicitly stated.