Filing Taxes Insights
July 12, 2022
So you’ve filed your taxes and received your notice of assessment, but now there’s another letter from the Canada Revenue Agency (CRA) in your mailbox with a request to see more of your paperwork. What do you do? Most likely, what you’re looking at is an inquiry notice. If you’ve claimed, say, a medical expense deduction and filed your return electronically, the taxman may ask you to produce copies of the receipts that prove that you’re actually eligible for the tax break in question. All you have to do is have your papers in order and respond by the deadline, […]
July 12, 2022
An independent contractor is different from an employee, the main distinction is that independent contractors have different legal entitlements compared to employees. An employee has an exclusive one-on-one working relationship with their employer, they are ruled under the employment act and the legislation from the act applies to them, independent contractors are not governed under the same statute they have different employment law protections. Companies may prefer independent contractors in Canada because independent contract taxes are not the responsibility of the company and stand separate from the company’s business tax. However, there are still risks involved with such kind of employment. The risks […]
July 12, 2022
Real estate owners often ask themselves if they should own investment real estate personally or through a corporation. There are certain tax consequences and factors to consider in transferring real estate to a corporation. Do you know which? Holding real estate property personally or in a corporation? Deciding to hold real property in a corporation depends on many factors. To begin, a corporation offers limited liability protection. This element of ownership is often the main influence to transfer real estate to a corporation. This is particularly true in circumstances where a taxpayer owns a multi-unit residential complex, and the risk […]
July 12, 2022
You have worked hard to build your business and create a profitable business. During the first few years, you may have stopped paying to reinvest in your business and grow your business. Now you may be at a point where your business has consolidated, and you are ready to start reaping some of the profits from your business. These ways are essential to understand when employing services like small business accounting. This article discusses some of the more general approaches that business owners can use to withdraw money from a business tax-efficient way. Reward yourself and your family Business owners will […]
June 29, 2022
Since technology took over every aspect of life, it has also affected businesses positively. When performing a simple task requires a lot of time, such as keeping an updated accounting journal. But gone are the days when traditional accounting was a significant part of every big and small organization. Now keeping in mind that accounting is the backbone of every business entity, you must ensure that your firm must adopt the new ways of accounting. Despite nature or size, most businesses are shifting towards virtual accounting systems, as they have become more convenient, fast, and reliable. So even if you own a […]
June 29, 2022
While one is undertaking corporate tax planning, it is advised to take the help of a small business tax accountant so you may not overlook the options of probable tax cuts that only your accountant might be able to pinpoint. However, there are other easily understandable tax loopholes to look into when filing small business taxes in Canada. 1. Maximize your non-capital losses Likewise, if your business has a non-capital loss (defined as when your expenses exceed your business income) in any year, consider when you can best use that loss to reduce your tax liability. Non-capital losses incurred after 2005 can be used to […]
June 23, 2022
Saving rental taxes have become an important concern as people find a lot of their income eroded while paying taxes in Canada. If you are unsure of how this can be done, search tax accountant near me to get in touch with a tax accountant who might be able to help. Before you do that, read the following tax-saving tips from a tax accountant. Advertising If you advertise your rental property in magazines, newspapers, websites, and other similar places, go ahead and claim a tax deduction on all payments you have made for it. You spend all advertising expenses because they are all directly related […]
June 18, 2022
Real estate taxes are pretty much the same as property taxes – one can be treated as the sub-head of the other for the sake of understanding. The key difference between real estate taxes and property taxes is that real estate taxes only apply to the land of houses; however, property taxes are much more expansive, covering all sorts of properties, for example, vehicles, livestock, or even farmlands. “Property” is defined in subsection 248 (1) as property of any kind, real or personal, immovable or movable, tangible or intangible, tangible or intangible. For added security, “ownership” includes, but is not limited to, laws […]
June 14, 2022
In Canada, we are fortunate to have access to the various benefit, credit, and incentives programs delivered to Canadians through the tax system. Dependant and Care Giver benefits What is the Canada caregiver credit? Do you support a spouse, common-law partner, or dependant with a physical or mental impairment? The Canada caregiver credit (CCC) is a non-refundable tax credit that may be available to you. Who can you claim this credit for? You may be able to claim the CCC if you support your spouse or common-law partner with a physical or mental impairment. You may also be able to claim […]
