Foreign Accrual Property Income
How to calculate foreign accrual property income for a Canadian corporation.
How to calculate foreign accrual property income for a Canadian corporation.
An introduction to emerging world of NFTs
Crypto mining is on the rise! Learnt he income tax application and reporting of Crypto mining in Canada!
Compilation of Financial Statements The Auditing and Assurance Board issued a new standard, ‘CSRS 4200 Compilation Engagements’ for the first time in almost 30 years! CSRS 4200 replaced Notice to reader report under Section 9200
What is life time capital gain exemption? Common purification and crystallization strategies.
Corporate reorganization technique that may allow you to take cash out of corporation without paying income taxes in Canada.
Many of Canadian taxpayers maintain a second home, a vacation property, or hold a U.S. real property interest for investment purposes. In 2020 and 2021, there is an upward trend of dispositions of U.S. real
Many professionals can now incorporate their practices as professional corporations as per the provincial legislation. Professional Corporations are now becoming a very common structure since the majority of provinces have relevant professional regulations. Professional Corporations
News Release – July 05, 2021 Resident Canadian Director no more needed for Ontario Corproations The province of Ontario in Canada has removed the residency requirement of the Director effective July 5, 2021. Previously Ontario
QSBC allows its shareholders to claim Lifetime Capital Gain Exemption on the disposition of its shares.
Deemed disposition and departure tax for the owner-managers of Canadian Corporations.
How are cryptocurrency transactions reported to Canada Revenue Agency?
Global Intangible Low-Taxed Income – Simplified! The Tax Cuts and Jobs Act of 2017 (TCJA) brought major changes to the U.S. tax system. With these changes come additional complications for U.S. citizens and resident aliens.
U.S. LLCs and S Corps are hybrid entities due to a mismatch of income tax treatment in both U.S. and Canada
Effective February 12, 2021, the Internal Revenue Service (IRS) has begun receiving 2020 tax returns in the U.S. In 2020, Americans have moved to Canada in record numbers. Whether you have recently moved to Canada
Have you recently received a contract offer from a business that has asked you to incorporate yourself? By the way, this is very trendy in the IT and transportation industry! We receive a couple of
Property flipping is an increasingly common practice to buy a property and then reselling it for a quick profit. Property flipping also includes assignment sales a.k.a. shadow flipping. Shadow flipping is the sale of a property
A beginner’s guide to Investor Pitch Deck. How to prepare the one, what to avoid and the tips for success.
For a while, Silicon Valley in the United States has been a Research and Development hub in the world. Well, that may change soon. According to the 2019 global technology innovation report, the US and
10 Reasons to Invest in Canada Planning to start a business or looking to expand internationally? Well, Canada is the place for you. Investing in Canada offers plenty of opportunities in terms of everything right
How can Canadian businesses operate in the U.S. Choose the right structure and common mistakes to avoid.
What is a CCPC and how does a Canadian Corporation lose CCPC status at emigration of its shareholder.
How to report and pay U.S. income taxes for Canadian Corporations?
U.S. Income tax is one of the most complex tax systems in the world. Being a global leader, many times international businesses get their income connected to the U.S. and they even don’t know it.
Principal residence exemption allows a taxpayer to eliminate capital gains on the disposition (or deemed disposition) of his/her principal residence in Canada. This post is meant for general information purposes. You can find below a
How can I lower my taxes if I am an actor or a person employed in the entertainment industry? This post outlines income tax returns for actors in Canada who are also residents of
In recent times there is an uptick in E-commerce sales, especially due to COVID-19 Pandemic. With the closures of more and more retail stores, customers are ordering online. Amazon is one of the biggest online
You can come clean with the Taxman in Canada using VDP whether the non compliance was intentional or unintentional.
Rental income earned by a corporation is considered property income i.e. aggregate investment income. Active business income of Canadian-controlled private corporations (CCPC) is subject to preferential tax treatment due to the small business deduction. Earning
Earning investment income in CCPC can affect Small business deduction and QSBC Status of a Canadian Corporation.
If you are generating gains or losses from the sale of securities, this is most likely to be treated as Capital gains. However, in certain cases, this might be treated as business income (or loss)
In recent days, we have received a couple of inquiries from our blog subscribers and readers about the foreign rental income of Canadian residents. This post is for general information purposes and cannot be relied
Canada is a country having vast immigrant population. Every year new immigrants come to Canada and gradually achieve their immigration status as permanent residents and ultimately Canadian citizenship. If you are a new permanent resident
Preparing a good business plan is a time-consuming task that requires dedication and far-sightedness. Many entrepreneurs choose not to craft a business plan before going ahead with the execution of their idea since it is
Your business plan is incomplete without a clear business concept. If you don’t highlight what your business is about, your plan is missing its key component; business concept about which you are writing the business
Income taxes for Non residents having rental income from Canada. When and how to report a non resident’s rental income to CRA.
Businesses and their managers can optimize their corporate business taxes using below simple and effective planning strategies in Canada: Caution: Below post explores tax planning strategies for businesses in Canada without getting into depth. You
Canada taxes its residents on their worldwide income. You become a resident of Canada when you establish residential ties with Canada. The year in which you become a resident of Canada is considered a part-year
If you have been a resident of Canada and decide to leave Canada, you must review your assets, income, and income tax obligations. Leaving Canada is often referred to as “Emigration”. The year in which
Tax Residency in Canada is determined using a very subjective approach; primary and secondary residential ties.
Bored by your 9 to 5 work life? Is there an inner voice urging you to escape the mundane professional life, the grunts of your boss? Is your mind innovative enough to brainstorm ideas and
No doubt, the Financial section is one of the most critical areas of the business plan writing process! You should not be surprised if you gave your business plan to someone and that person immediately
A Canadian Perspective on business plan writing… Recall your middle school teachers insisting on making a routine for the completion of your syllabus. Why would you do it? How would you frame your routine? And
Canada taxes its residents on worldwide income. When an individual becomes a resident of Canada by immigration or leaves Canada as an emigrant, there are specific income tax rules. It’s possible for an employer to
What is a Management Fee? Often, businesses in Canada use multiple entities to run their operations or there are allocations of Management fees because of the centralization of management within a corporate group. The management
If you are an owner-manager of a Canadian Controlled Private Corporation (CCPC) you can use certain tax planning strategies to optimize both personal taxes and corporation taxes in Canada. You should always exercise caution while
Are you looking forward to new business and sketching up your business plan? Or, are you rethinking your business model? Business plan writing can be tough, especially if you have a time crunch. Not to
Are you good at the business nitty-gritty? Canada is looking for entrepreneurs who can contribute to the economy. If you want to successfully immigrate to Canada as a businessperson, you need to draw up a
What is a US LLC? A Limited Liability Company (LLC) is a type of business entity that is created by a state statute in the US. This type of structure does not exist in Canada.
What is a Snowbird? If you are a Canadian and spend winter in the U.S. you may, unknowingly, become a US resident under the tax laws of the United States. So, now you are a
Please use the below checklists to arrange the information for the preparation of U.S. personal tax returns. Starting information & Filing Status – All the individuals filing U.S. Tax returns must provide this. Information required
Please use the below checklists to arrange for your information if you are filing Section 216 tax returns and non-resident individual income tax returns in Canada. Individual Tax Number (ITN) for Non-Residents Non-residents of Canada
Individual Tax Number (ITN) for Non-Residents In order to file an individual income tax return with Canada Revenue Agency (CRA), you require either a Social Insurance Number (SIN) or an Individual Tax Number (ITN). If
2022 – Individual Income Tax Return (T1) Checklist Canada Revenue Agency systems to allow electronic filing of Individual Income tax returns (T1) for 2022 are opening on February 20, 2023 (Expected, not confirmed yet). We
Important deadlines for 2023 Please note that these are the deadlines applicable to most taxpayers. Some of the information returns may not be included here. For up-to-date information, please always follow the deadlines communicated to
Changes affecting 2022 Tax Returns The 2022 individual income tax season is starting soon. Please check important deadlines for the 2022 tax returns being filed in 2023 While we intend to capture tax changes and
Effective January 01, 2022, there is a new ‘Underused Housing Tax’ (UHT) imposed on specific taxpayers, known as “affected owners”. UHT is a tax levied on properties that are deemed to be underutilized or not
Question: Can a U.S. LLC claim exemption from Canadian corporate income tax under article VII of treaty if it has non-us members?
Passive Foreign Investment Companies (PFICs) In this post: What is a PFIC? Definition of PFIC Deep dive into PFIC definition Gross Income Test Asset Test Exceptions – What is not PFIC? Controlled Foreign Corporations (CFCs)
Question: I Am An IT Professional. I Just Received An Offer From My Employer. My Employer Wants Me To Incorporate And They Have Agreed To Offer A Better Hourly Rate. I Am Confused Should I Set Up A Corporation Or Become An Employee?