Author: Maroof Hussain Sabri

As we are in the final quarter of 2020, many wonder if they are subject to U.S. Income taxes due to the travel restrictions earlier in the year! Good News: Yes, there is an exception available! Generally, if you meet the substantial presence test (SPT), you are subject to U.S. income tax filing requirements. May Canadians spend a significant portion of the year in the U.S. especially in...

Canada Emergency Wage Subsidy (CEWS) has been providing significant support to Canadian jobs by covering 75% of employee’s wages (sometimes up to 85%, see new CEWS rules).A total of $35.31 billion has been paid under CEWS to unique applicants of 312,750 against 1,094,330 applications made by them (see updated...

The Canada Revenue Agency (CRA) has introduced additional reporting requirements for T4 Information returns of 2020. The purpose of these additional requirements is to validate the benefit payments to Canada Emergency Response Benefit (CERB), Canada Emergency Students Benefits (CESB) and Canada Emergency Wage Subsidy (CEWS). All of these programs provide much-needed relief and support to...

Canada Emergency Wage Subsidy (CEWS) has undergone major changes in July 2020.Extension of CEWS until end of 2020Wage subsidy has been split into two parts; Base Subsidy and Top-up SubsidyInclusion...

It is not unusual for Canadian businesses to expand into the United States. U.S. and Canada have two different tax systems and such a decision needs careful planning and consideration. In this post, we are going to have a quick overview of different structures that can be adopted by Canadian businesses to operate in the United States. This post is meant to be a simplified version for readers...

In Canada, there are different types of corporations for tax purposes. Canadian Controlled Private Corporations (CCPC) enjoy lower income tax rates on corporate profits because of small business deduction. In order to qualify for the CCPC status, certain requirements need to be met. For example, the control of the corporation should not be with a non-resident or public corporation. Word of...

Almost a month ago, in May, the government announced expanded eligibility for Canada Emergency Business Account (CEBA). Previously, only the businesses with a minimum of $20,000 in payroll were eligible. After facing a lot of criticism and feedback, the government decided to expand the eligibility program to include more businesses. As of now, CEBA program includes two streams: Payroll stream...

The Government had rolled out its  Canada Emergency Business Account (CEBA) to support small businesses due to pandemic. Since the start of the program there has been a much criticism over the “exclusion” of certain small businesses. One of the key requirements for CEBA is that a business should have T4 of minimum $20,000 for 2019. That excluded a lot of small businesses,...

Canada is the second-largest trading partner of the United States. Both economies are interconnected and businesses on both sides of borders are subject to two-income tax rules of both countries. There is a Canada-US tax treaty that provides relief from double taxation. Caution: US Income tax, both for individuals and businesses, is one of the most complex tax systems in the world. The below...

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. The first pain-point, especially for small businesses, is an inability to determine if they are subject to U.S. tax or not! So, if you are looking for the answers to the questions like below,...