What Sets Us Apart From Other Toronto Based Firms When Filing Your Small Business Corporation taxes?
SDG’s organized approach of collecting your business information to understand your corporate tax needs in Toronto is fast, efficient and cost-effective. We usually have our Toronto area clients call for a consultation. We understand what type of Toronto small business you have and what to expect when preparing to file your corporate tax return. We are a paperless office and try to offer these services digitally, so you do not have to waste time emailing or dropping documents to our office. We make it fast and easy to E-file your business corporation taxes. Small business owners need an experienced corporate tax accountant Toronto that knows the compliance requirements of a small corporation. Our professional CPA firm has exactly that & we are highly responsive to our customers and try to educate them along the way.
T2 Corporation Income Tax Return Explained by Accountant Toronto
A corporate tax return in Canada is called a T2. Corporations must pay income taxes on their earnings. The Canada Revenue Agency (CRA) has created the T2 Corporation Income Tax Return, for corporations to fill out in order to file their taxes. All Canadian controlled private corporations must use the T2 to file their taxes annually, based on their fiscal year.
Advantages of Using a Toronto Small Business Corporation Accountant
Corporate tax accountant Toronto should know to utilize the small business deduction. This makes claiming income under a corporation highly favourable given the much lower tax rate as opposed to claiming the income personally. If you retain money in the corporation and not pay it out (Dividends or Salary) then you will not be subject to the higher income tax individuals face.
Effectively after the Small business deduction, the income tax rate for a CCPC will be 9% for federal and 3.2% for Ontario based tax.
Some professionals choose to incorporate their personal service business. Those who choose to do so should be aware that they will not be eligible for the small business deduction and are only allowed specific deductions.
When is a Corporate Tax Return Deadline?
Corporate income tax needs to be filed within six months of the end of the fiscal year. For instance, if your tax year-end date is March 31st, your corporate income tax return must be filed by September 30th.
There are penalties imposed by the CRA if the tax return is filed late. Canadian corporations with annual gross revenue of more than $1 million must internet file their corporate income tax. However, the balance due on the tax return must be paid within 2 months after the end of the tax year using any of the below means:
- CRA my business account
- Cheque to CRA
- Through online banking
Who Has to File a T2?
- Resident Corporations
- Tax-Exempt Corporations
- Non Profit Organizations
- Inactive Corporations
What is the Advantage of Working with SDG Accountants for Your Corporation Taxes?
- Excellent and High-Quality service with attention to your business needs – Our corporate tax accountant Toronto team of experts end your search for accountants near you. We have specific plans for your business and can help you figure out the best way to deal with the taxes. As experienced accountants in Toronto, we ask the right questions to determine which schedules and specific forms apply to your corporation.
- Simple to use tax organizer makes tax filing a breeze – We understand how filing taxes can be a pain for the average business owner, hence we have prepared a simple tax organizer which takes less time to onboard our clients and makes filing very efficient.
- Low cost for tax filing – Get in touch for the best rates for your accounting and tax needs.
- Harmonized and Comprehensive approach – We just don’t file your taxes, but also make sure that we are there as a guiding factor in your search.
- Analysis of financial statements and making sure the correct disclosures are made to ensure no audits at a later stage.
- Tax and Accounting – Correct and accurate disclosures for the deductible, non-deductible expenses, and correct apportionment under each CCA class.
- A T2 Corporate Income Tax form requires using the General Index of Financial Information (GIFI) and it is recommended that a seasoned and professional corporate tax accountant Toronto is hired so that the information is correctly remitted to the CRA to avoid any audits later.
Why Choose Us?
We are a team of qualified and experienced chartered professional accountants who add value to your business with our skillset and efficiency.
We are here to offer you:
- A fresh and practical approach to your tax and accounting needs
- Customized service based on corporation clients
- Innovative solutions to make things less complicated.
With our ability to decipher and resolve complex tax and accounting issues and proactively engage with our clients, we are a one-stop-shop accounting firm in Toronto. Please contact us directly at 416-755-3000 or by emailing us at [email protected] if you are looking for a competent corporate tax accountant Toronto to handle your business or corporation’s income tax return. Visit our contact us page to book a consultation.