Income from the rental of seasonal and extended seasonal campsites and the storage of RVs (Specified investment businesses) are not eligible for the small business tax rate. Instead, they are taxed at over 50% in all provinces and territories, although 20.67% may be refunded when dividends are paid.
One of the exceptions from TOSI occurs when the income recipient is actively engaged in the business and works an average of 20 hours per week. Where the 20-hour test is not met, the ongoing nature and labour requirements of the business must be considered.
CRA commented on whether a CPP/EI ruling triggers follow-up assessing and review. A referral to the Trust Accounts Examination Division (often leading to a payroll audit) is not automatically sent. However, it is sent in situations such as..
CRA released the promised guidance for employment expenses incurred by shareholder-employees to be deductible:
A deduction can be claimed for salary paid to an assistant. Any deduction must be for salary, requiring it be paid to an employee.
Produce a T2200 which indicate that motor vehicle expenditures were requirements of employment with records that support total kilometres traveled such as repair receipts, employment/business travel logs
On September 6, 2019, the IRS announced Relief Procedures for Certain Former Citizens, a new process to facilitate eligible individuals in becoming compliant with their U.S. tax obligations, in conjunction with renouncing their U.S. citizenship (IR-2019-151)
Legally adopting the child of a common-law partner may be eligible to claim the costs under the adoption expense tax credit ($16,255 @ 15% for 2019)
The Department of Finance announced the climate action incentive payment amounts for 2020. The following amounts may be claimed on the 2019 personal tax returns:
Recent changes include rise in tax free Basic personal income to $13,229, 100% immediate write-off for zero-emission vehicle used in a business etc.
Commuting to work, no matter how far, is considered personal. However, there are some exceptions to this rule, such as where the individual travels to a temporary special work site, or a remote work location
CRA released various suggestions to safeguard tax information, including the following:
At the end of 2018 approximately 2 million unclaimed balances, valued at $816 million, were held by the bank, with $11 million being paid out in the year. Of interest, the oldest balance dates back to 1900..
If the motive for the sales were not personal but, rather, in pursuit of profit (sold on account of income) it is not eligible for capital gains treatment. As the gains were not capital in nature, the principal residence exemption could not apply.
The Court upheld the previous Tax Court decision which classified an employer-provided parking pass as a taxable benefit..
Changes to the Canada Business Corporations Act , which came into force on June 13, 2019...
Special rules apply to loans advanced from a corporation to a shareholder or any related person which require an income inclusion in the hands of the borrower..
Taxpayers may be entitled Employment insurance benefits when working outside Canada. A new Government of Canada report shows shocking statistics on tax actually paid and collected in 2014
CRA intend to continue and increase the use of information gathering methods to get information about other taxpayers
If receiving full salary even after being injured, consider whether some of it could be classified as Worker Compensation and therefore tax-free.
A taxpayer may be eligible for the Disability tax credit (DTC) if the impairment(s) represents a marked restriction in the ability to perform a basic activity of daily living
Transport Canada released details on the purchase incentive of up to $5,000 for zero-emission vehicles as originally proposed in the 2019 Budget...
The best way to stay in tune with your customers is to understand your customer; a way to do that is by being your own customer.
Nobody can act you more than you! If you would be making huge financial decisions, you might have to consider several factors- both personal and financial.
When trying to find ways to engage new generation workers, consider these two thoughts; first, are millennials, and the older generation needs different?
Clothing reimbursements - consider including distinctive visual markings such that it would be considered a uniform and therefore not subject to tax for the employee.
You can become famous through luck. But becoming known and a trusted a personal brand requires consistent work over many months, and perhaps even years.
Because we all know any conference day is a long one.
SPECIAL WORK SITE ALLOWANCE planning to sell your residence because most of your time is spent at a special work site, note that your allowance may become taxable.
Stress is an unavoidable consequence of our everyday work lives. There are going to be times where we’re going to deal with it, and there are going to be times where all it seems like it’s doing is piling up and finding its way into our personal lives.
No matter how strong your passwords are, chances are that sooner or later they can be breached.
In May and June of 2019, the provincial courts of appeal in Ontario and Saskatchewan ruled that the Greenhouse Gas Pollution Pricing Act (the Carbon Tax) was constitutional.
Having a certification would not only give you an edge in the accounting labour market, but it would also increase your earning capacity.
One of the most common issues seen when businesspeople find themselves in trouble with debt, is that they don’t actually know what they might actually be liable for.
Being able to see the world from others point of view is such a beautiful talent- don’t waste it.
Not everyone understands how to appropriate the use of social media when it comes to marketing.
Your small business can make a big carbon-cutting impact! The 6 steps to running a carbon neutral business and why it’s the must-make business move of 2019 – all explained here
On average, business people receive about 90 emails each day and send about 40
Email has been around since the ‘70s but it’s still our favourite form of online communication. Because of that, email newsletters are a great marketing tool and offer some of the best returns on investment in the industry. So how do you do it well?
A fifth of small businesses don’t have an accountant. As they grow, they’ll eventually want to get one. So how do you welcome those fresh young businesses into your practice?
Bruce Earle’s clients might not recognise the beanie wearing, craft-beer drinking, fan of “the Boss” (singer/songwriter Bruce Springsteen) outside of work days at his accounting practice. But Bruce has always been one do things a bit differently.
Instead of waiting for marketing agencies to do the work, it is time for companies to start branding themselves.
This article will be focused on how users can deal with cases of abusive emails.
The same things happen to everyone in different ways.
The three major forms of business activities are financing, investing and operating.
An audit report could be either summarized or lengthy.
Take stock of the assets you have and create a realistic plan to define your purpose, gather resources and develop market insights.
Over 5,000 firms rely on Xero Tax to lodge their tax returns
My nine most important lessons from investing over the past 35 years are that: there is always a cycle; the crowd gets it wrong at extremes; what you pay for an investment matters a lot; getting markets right is not as easy as you think; investment markets don’t learn; compound interest applied to investments is like magic; it pays to be optimistic; keep it simple; and you need to know yourself to succeed at investing.
Jason Blumer realised his creative talent would be curbed if he stuck to the traditional ways of running an accounting business. So when he was let loose to manage his father’s firm, he started experimenting and having fun.
A good succession plan can secure a business owner’s legacy, and their retirement. Why not help your clients come up with one? It could be one of the most important and enduring things you do for them. Here’s how to get the process started.
From small to large, accounting practices of all types can be effectively thinking ahead.
Cash Flow is what makes businesses live
It is essential to create a great first impression.
When a customer complains about your product, ask yourself first whether they have a point.
It’s not just personal data that are in jeopardy.
This blog article will help suggest a few things that you can do to make conferencing less of a hassle for business owners.
More than anything, companies must prepare their employees to be deeply knowledgeable but broadly adaptable.
Imagine that any email you send was given to every employee at your company. If this thought makes you nervous, and it isn't due to privacy laws, you may need to reevaluate your message.
The resources of every organisation includes among other things, physical, financial, time, information as well as human.
Understanding and articulating your company’s “why” is fundamentally important, but the “how” behind how you and your team execute drives your organization’s culture and ultimately, it's brand.
If you've ever thought of starting a bookkeeping business, now's the time. There are fewer barriers to entry than ever. Read our seven tips on how to get started.
Watch out for details of this new incentive to be released in the fall...
Consider whether an RRSP contribution should be made now in order to benefit from the tax deduction, while making equity available for a later home purchase. Funds withdrawn under the plan must be in the RRSP at least 90 days prior to the withdrawal...
CRA was asked whether the costs of installing a steam shower (sauna) and hydrotherapy pool could be eligible for the medical expense tax credit (METC)?
Interest rates on Canada Student Loans and Canada Apprentice Loans will be lowered starting in 2019-2020...
Consider revisiting your estate plan, will, and any other communications you would like to leave for your family.
To qualify for the rebate, the purchaser, or a person related to the purchaser, must, at the time they become liable for the purchase, intend to use the property as their primary place of residence...
Determine whether it is best to defer receiving OAS prior to applying...
Each parent is entitled to half of the credits/benefits which would be available if the child resided primarily with them
A web app puts you out to the world, gives you a platform, brings traffic to your site.
As a member of the learning and development industry, I am bombarded with research, insights, event invites, and models almost daily
You need billing to be fast and accurate.
The Internet has made it very easy for a business to make its goods and services reach more and more people all over the world.
Ever heard the quote by David Allen, who says “You can do anything, but not everything.”
On the list of crucial things that determine if a small scale business will stay relevant or fold up within a short while, money is right on the top.
Planning is simply a process that involves shaping a course of action that is to be done at a later date.
Depreciation affects your bottom line, your tax bill, and the value of your business. Those are three good reasons to learn what depreciation is and how it works. Here are the basics.
Debits and credits are one of those fundamental concepts in accounting..
Technology has facilitated all aspects of life
All entrepreneurs need a parachute.
"Positioning" is a term that gets thrown around a lot but can often be confused with other marketing activities.
Do you know that the wages you pay your employee is not all that your employee costs?
You understand the phrase, “Time is money” better when you are in the labour market.
Tax Day is just right around the corner
Facebook started in 2005 as a small networking site at Harvard University.
What is really happening in the life of our small business?
There’s a reason “The Room Where It Happens” is one of Broadway hit Hamilton’s standout songs: the track’s theme -- longing to be included among key decision-makers in the place in which decisions are made -- is timeless.
Bank feeds are a core component of Xero, giving you an up to date view of your cash position so you know how your business is performing.
If it’s going to survive, a startup needs to grow.
In today’s competitive environment, businesses can survive and thrive when managers or owners implement measures that encourage their employees to share new ideas and innovations to improve the workplace. As a temp administrative assistant, I have observed many innovations that work - and don't work- on the job.
TIP: All leaders that are good need to focus on days to come. You have to know what's next and how to prepare for it.
Make it a point to look for hidden talent in your teammates. It should be easy to determine who benefits you the most, when you are looking for helpers.
As part of the Beautiful Business Talks hosted by Xero at this year’s Accounting Business Expo, I was given the opportunity to present on how accountants and bookkeepers can provide advisory services to their clients.
When it comes to businesses and the publicity they involve, losing one customer can cause a chain reaction that makes you lose several other customers; existing and potential.
The concept of search engine optimisation (SEO) is literally everywhere. It is so important now, and every webmaster needs its knowledge, so content marketing is as effective as it is supposed to be.
Benefits have evolved. Once upon a time, “word-of-mouth” adverts was what worked, later on, if you couldn’t get your business to be on the television or radio, you were not dreaming big enough.
Ever heard about SSL Certificates?
You probably have.
So you didn’t follow the Elon Musk path of creating a computer game at age 12 or cold-calling a corporate banking maven to snag a paying internship? You can still become a compelling, talked-about entrepreneur if you follow a few best practices.
When was the last time you stopped to think?
I mean really stopped.