Does selling to my spouse instead of a child create different tax or legal issues?

Yes. Transfers between spouses are often treated differently under Canadian tax rules than transfers to a child, since transactions between spouses can qualify for tax deferral that isn't available on a sale to a child, potentially changing when and how any tax on the sale is triggered. That difference alone makes it worth getting tax advice specific to a spousal transaction rather than assuming it mirrors a sale to the next generation.

On the corporate and legal side, the same basic mechanics apply as any other share or asset sale: a proper valuation, a written purchase agreement, appropriate representations and disclosure, and independent legal advice for each spouse, given the inherent conflict of interest in having one lawyer act for both sides of a transaction between spouses. Family law considerations can also matter depending on your circumstances, since how business ownership was transferred between spouses can become relevant later if the relationship changes. Get tax and legal advice tailored to a spousal sale before structuring it.