Salary vs. Dividends: Best Way to Pay Yourself from Your Corporation
As a small business owner, one of the most pressing questions you may encounter is how to pay yourself from your corporation. You can choose between paying yourself a salary or taking dividends, each of which has its own set of advantages and disadvantages. Whether you’re looking to maximize your income, minimize your tax burden, or […]
How to File Uber Taxes and Report Income in Canada
With more Canadians becoming Uber drivers, many wonder about their tax obligations and how to manage them. This guide provides an overview of what you need to know about filing Uber taxes in Canada, including a checklist for tax liabilities, important tips, and available deductions. While this guide focuses on Uber, similar principles apply to […]
How to Verify CRA Contact Methods and Avoid Tax Scams
Understanding the Canada Revenue Agency’s (CRA) contact methods is crucial for Canadian taxpayers. The CRA uses a range of channels to interact with individuals regarding tax matters and benefit programs. This includes phone calls, emails, letters, and sometimes text messages. Knowing how the CRA typically communicates helps you distinguish between legitimate contact and potential scams. […]
Essential Bookkeeping Tips for Canadian Corporation Taxes
Bookkeeping is the backbone of financial management for any corporation, and it becomes even more critical for Canadian corporations due to complex tax laws and regulations. Proper bookkeeping not only ensures compliance with the Canada Revenue Agency (CRA) but also provides a clear picture of a corporation’s financial health. This blog explores essential bookkeeping practices […]
The Complete Guide to the First Home Savings Account (FHSA) for Canadians
The journey to homeownership is a significant milestone filled with excitement, planning, and important financial decisions. For many Canadians, the dream of purchasing their first home is now more attainable with the introduction of the First Home Savings Account (FHSA). This innovative savings plan is designed to make the path to purchasing your first home […]
Top 7 Tax Deductions for Canadian Contractors to Maximize Savings
Welcome to the savvy world of tax planning, where every penny saved is a penny earned, especially for independent contractor in Canada. As we navigate through the fiscal year of 2024, understanding the nuances of tax deductions is not just smart; it’s essential for maximizing your business’s financial health. Tax deductions are far more than […]
Understanding CRA Penalties for RRSP Over-Contribution and How to Avoid Them
The Registered Retirement Savings Plan (RRSP) is a cornerstone of retirement planning for Canadians, offering tax advantages to save for the future. However, understanding and adhering to RRSP contribution limits can be challenging, and overcontributing can result in penalties. In this comprehensive guide, we’ll clarify what happens if you overcontribute to your RRSP, including the […]
How to Report World Income to the CRA: A Newcomer’s Guide
Receiving a letter from the Canada Revenue Agency (CRA) requesting information about your world income can be unsettling, especially for newcomers to Canada. However, this process is a standard procedure aimed at ensuring accurate tax filings and benefit calculations based on your total annual income, not just income earned within Canada. The CRA’s letter typically […]
How to Claim Mileage Log for Self-Employed Tax Deductions
As a self-employed individual, you can claim business-related vehicle expenses and cut down on your owed tax. If you’re using your personal vehicle to earn your business income then you’re sure to incur some vehicle expenses throughout the year. Now depending on your business or work, these could amount to a hefty sum. Take Uber […]
Navigating the New Canada Carbon Rebate for Small Businesses
The Canada Carbon Rebate program serves as a groundbreaking solution to address the ever-growing concerns of carbon emissions and their impact on the environment. As a small business owner, understanding the fundamentals of this initiative is not only essential for your financial well-being but also for your commitment to sustainable practices. By providing a refundable […]