167 Tax Tips for Canadian Small Business

"...a book for every Canadian in a small or home-based business who
is struggling with complex tax rules and regulations."

--Dale Ennis, Canadian MoneySaver

"...easy-going style and avoidance of the more mind-numbing
details make for a solid primer on the perks and pitfalls of
self-employment. The...one-sentence tips in the appendix are
probably worth the price of admission alone."

--Gordon Powers, The Globe and Mail

"...one of the better books I've seen on the market for
small-business owners and better yet, it's all Canadian
content."

--Linda A. Fox, The Toronto Sun

As a small-business owner or a home-based entrepreneur, you have
lots of questions about taxes, but very few answers.
Fortunately for you, 167 Tax Tips for Canadian Small
Business contains a wealth of tax planning advice and
strategies to help you save on your business tax bill. So whether
you want to do it yourself or reduce what you pay your accountant -
not to mention the government - this is how you'll keep more money
in your pocket, where it belongs.

• Packed with tax tips that will save you hundreds, or even
  thousands, of dollars year-round.

• Written in a question-and-answer format that's easy to
  understand, practical, and easy to apply.

• Features 167 "Tax Beaters" - quick-reference tips that
  highlight key points - plus three bonus tips to help you save even
  more!

• Explains how to save taxes in every aspect and at every stage
  of your business.

• Features a Year-Round Tax-Planning Calendar.

• Coverage includes: business start-up, corporate tax planning,
  GST/HST, deductibility of home and automobile expenses, what to do
  if you are audited by the Canada Revenue Agency, CPP and QPP
  deductions for self-employed entrepreneurs, and much more.

The ultimate "tax coach" for every Canadian in a small or
home-based business, this book will help you to beat the taxman at
his own game!

Autorentext
Stephen Thompson, CA, CFP, TEP,is a Partner with the accounting firm of Wilkinson & Company, LLP. He specializes in taxation of small and home-based businesses and has delivered many seminars to clients and public groups.

Zusammenfassung
"...a book for every Canadian in a small or home-based business who is struggling with complex tax rules and regulations."
Dale Ennis, Canadian MoneySaver "...easy-going style and avoidance of the more mind-numbing details make for a solid primer on the perks and pitfalls of self-employment. The...one-sentence tips in the appendix are probably worth the price of admission alone."
Gordon Powers, The Globe and Mail

"...one of the better books I've seen on the market for small-business owners and better yet, it's all Canadian content."
Linda A. Fox, The Toronto Sun

As a small-business owner or a home-based entrepreneur, you have lots of questions about taxes, but very few answers. Fortunately for you, 167 Tax Tips for Canadian Small Business contains a wealth of tax planning advice and strategies to help you save on your business tax bill. So whether you want to do it yourself or reduce what you pay your accountant - not to mention the government - this is how you'll keep more money in your pocket, where it belongs.

• Packed with tax tips that will save you hundreds, or even thousands, of dollars year-round.
• Written in a question-and-answer format that's easy to understand, practical, and easy to apply.
• Features 167 "Tax Beaters" - quick-reference tips that highlight key points - plus three bonus tips to help you save even more!
• Explains how to save taxes in every aspect and at every stage of your business.
• Features a Year-Round Tax-Planning Calendar.
• Coverage includes: business start-up, corporate tax planning, GST/HST, deductibility of home and automobile expenses, what to do if you are audited by the Canada Revenue Agency, CPP and QPP deductions for self-employed entrepreneurs, and much more.
  The ultimate "tax coach" for every Canadian in a small or home-based business, this book will help you to beat the taxman at his own game!

Inhalt

Year-Round Tax-Planning Calendar xi

Preface xv

Acknowledgements xix

Round 1 Get Off to a Good Start 1

What Is a Business? 1

Should I Keep My Losses Low in the Start-Up Years? 6

When Did My Business Start? 7

What Types of Expenses Can I Deduct? 8

Am I Really Self-Employed or Still an Employee? 8

Round 2 Keep Accurate Recordsand Save! 11

Why Should I Take the Time to Keep Records? 11

For How Long Do I Have to Keep My Records? 13

What Information Should I Keep? 13

What If I Don't Get a Receipt? 14

What If There Is No Description on a Receipt? 15

How Can I Develop a Simple Record-Keeping System? 15

How Do I Know If I Made Money? 21

Can I Use the Cash Method for Reporting Business Income? 22

What Is the Cash Accounting Method? 22

What Is the Accrual Accounting Method? 23

Do I Have to Use Accrual Accounting throughout the Year? 24

Round 3 Start with the End in Mind 27

Must I Have a December Year-End? 27

Why Would I Want a Non-December Year-End? 28

Should I Have a December or a Non-December Year-End? 28

What Happens If I Elect to Have a Non-December Year-End? 29

What If This Is My First Year in Business? 30

How Can I Minimize the Non-December Year-End Tax Problems? 32

When Can I Choose a December Year-End? 34

What Year-End Should I Choose for My Corporation? 34

Round 4 The Tax Rate Stairway: Easy Steps to Saving Money 37

How Do I Use the Tax Rate Stairway to Save? 38

What Are the Income-Splitting Techniques? 39

The Family Income-Splitting Technique 40

The Personal Income-Splitting Technique 52

The Corporate Income-Splitting Technique 57

Round 5 To Incorporate or Not? A Taxing Question 61

What Are the Common Business Structures That

I Can Use? 61

What Is a Sole Proprietorship? 62

What Are the Advantages of a Sole Proprietorship? 62

What Are the Disadvantages of a Sole Proprietorship? 63

What Is a Partnership? 64

What Are the Advantages of a Partnership? 64

What Are the Disadvantages of a Partnership? 65

What Is a Corporation? 65

What Are the Advantages of a Corporation? 66

What Are the Disadvantages of a Corporation? 66

What Tax Savings Can Be Achieved By Using a Corporation? 67

Is There a Tax Advantage to Selling Shares of My Corporation? 70

Should I Take Advantage of the Capital Gains Exemption Now? 71

Can I Increase the Capital Gains Exemption? 73

Can I Take Advantage of the New Enhanced Dividend Rules? 74

How Do the New Dividend Rules Work? 74

How Do the New Dividend Rules Impact My Business? 76

So Which Structure Is Best for Me? 77

Round 6 GST: Friend or Foe? 79

What Is an Input Tax Credit? 79

Do I Have to Register for the GST? 80

Should I Register for the GST? 82

Can I Simplify the Administration of the GST? 83

Can I Still Claim Input Tax Credits If I Forgot to File My GST Return? 87

Can I Be Denied a Legitimate Input Tax Credit? 87

How Can I Verify That One of My Suppliers Is Registered for GST/HST? 89

Can I Claim an Input Tax Credit on Capital Purchases? 90

Can I Claim an Input Tax Credit on an Asset Purchased Before I Registered for the GST? 90

Can I Claim Input Tax Credits on Personal Capital Property? 91

Can I Claim Input Tax Credits on Personal Vehicles? 92

Can I Claim Full Input Tax Credits on All General Business Expenses? 94

Are There Any Other Restrictions on Claiming Input Tax Credits? 95

When Do I Have to File My GST Return? 96

When Are the GST Returns Due? 97

What Happens If I'm Late in Filing My GST Return? 98

What Happens If My Customer Doesn't Pay His Account? 100 What If I Offe...