Tax Returns (Incorporated)
With all the responsibility and rewards of being your own boss, becoming a small business owner changes the way you file a tax return. Contrary to a personal tax return, a corporation is required to file a tax return each year regardless of whether tax is owing and can be significantly more complex. There are various taxes that a Canadian Controlled Private Corporation (CCPC) may have to pay depending on the activity that is generating the income. Additionally, corporate owners (who earn active business income) pay tax at a lower rate and can help defer taxes on income that is retained within the company. Being incorporated provides many advantages, tax-related and otherwise, and should be considered when starting and/or growing a small business.
We at Numbers Plus® recognize that our corporate clients have significant assets and ensure them to take advantage of small business deduction (SBD) and/or manufacturing and processing (M&P) credits and preserve their entitlement to the capital gains exemption. Let us engage in leading tax minimization strategies to enhance your business value.