Are you incorporated? Great idea! You can access lower tax rates with your corporation and pay less tax. For more than ten years, Maroof HS CPA Professional Corporation has been productively aiding clients with their Canadian small business & corporate tax needs.
Who need to file a corporate tax return?
All corporations, tax exempt, non-profit and inactive corporations, needs to file a tax return every year even if there’s no tax payable! It’s a criminal act not to file a corporate tax return. A non-resident corporation need to file a T2 return if, at any time in the year, it performed business in Canada, it had a taxable money gain, or in some scenarios, it disposed of taxable Canadian property.
When do you need to file your corporate tax return?
File your corporate income tax return inside 6 months of the end of every tax year. The tax year of a corporation is its financial period. When the tax year of the corporation ends on the last day of a month, file the corporate income tax return by the last day of the 6th month after the end of the tax year. When the last day of the tax year isn’t the last day of a month, file the corporate income tax return by the same day of the 6th month after the end of the tax year.
When do you need to pay the corporate income tax owning?
Corporations need to pay corporate income tax in monthly or quarterly instalments when the total of the taxes payable for either the former year or the present year is more than $3,000. The balance of tax the corporation owes for a tax year is due within either 2 or 3 months of the end of that tax year, depending on the situations of the corporation. If you’re a Canadian Controlled Private Corporation and are claiming the small business deduction you can pay 3 months after your year end.
Maroof HS CPA Professional Corporation can aid your business with tax efficient solution. We pride ourselves on the excellent Corporation Income Tax Services we offer to our valued clients. Feel free to call us on (647)724-4308!