Canada Business Tax

Canada Tax Information »

Over 1.5 million Canadian taxpayers use this site, on an annual basis.
Our Canadian tax calculator, RRSP tax savings calculator, income tax rates, RRSP & tax information Canada assist your tax planning to maximize your tax return. You will get the latest Canada tax information regarding what you are looking for. The goal of this site is to be a reference site for easy to understand Canadian Tax.

Starting a Business »

Canada Business Tax Information for Starting a Business
Obtaining a Retail Sales Tax (RST) Licence/Vendor’s Permit
The RST, also known as the Provincial Sales Tax (PST), is a tax based on the retail price of most goods. Businesses that sell taxable goods, provide a taxable service, or charge more than $4.00 admission to a place of amusement are responsible for collecting the tax and remitting it on a regular basis.

Merchandise and equipment used in a business, other than certain categories of production machinery and materials used in manufacturing, are taxable. Certain purchases, …

Corporate Income Tax »

Business Income Tax Rates Canada
Effective January 1, 2010 the corporate income tax rate falls to 18% from 21% before January 2008. Yearly tax reductions will see the corporate income tax rate fall to 15% as of January 1, 2012. These corporate income tax reductions, says the Department of Finance Canada, will give Canadian corporations the lowest tax rate on new business investment in the Group of Seven (G7) by 2011 and the lowest statutory tax rate in the G7 by 2012.

The corporate tax rate will decrease as follows:

21% before January …

Tax Installment »

Corporate Tax Installment Canada
For corporate tax installment, the instalment threshold will triple from $1000 to $3000, so that corporations will not have to pay corporate income tax by instalment unless their total tax liability is more than $3000.
Small Canadian-controlled private corporations (CCPCs) that are required to pay tax instalments may make those tax instalments quarterly rather than monthly if they meet certain conditions, such as having a taxable income for either the current or previous year that does not exceed $400,000 and having qualified for the small business tax deduction …

Business Expenses »

Business Expenses for Tax Deduction Canada
As a rule, you can deduct any reasonable expense you paid or will have to pay to earn business income. The expenses you can deduct include any GST/HST you incur on these expenses. However, you cannot deduct personal expenses.
Deduct only the business part of expenses from business income. In addition you cannot claim expenses you incur to buy capital property.

Advertising expenses | Allowance on eligible capital property | Bad debts |
Business start-up costs | Business taxes, fees, licences, dues, memberships, and subscriptions | Business-use-of-home …