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1. Individuals Individuals who own rental property need to calculate the income or loss from the property for each calendar year. This is then adjusted with the other personal income for the year. If the property is co-owned, then each co-owner must individually report their rental income according to the portion owned. Keep in mind […]

The Canada Revenue Agency (CRA) sends around 30,000 letters every year letting people know that they’re being audited. While this is just a fraction of the 27 million people who file their taxes, you shouldn’t assume that getting an audit notice is completely random. Your chances of getting audited decrease if you keep an eye […]

A Health Spending Account (HSA) is a self-insured health plan which can be arranged by employers for their employees. Small business owners spend a considerable amount of money every year on medical expenses for themselves and their employees. An HSA offers an affordable way for owner-managers to reduce these expenses. Reasons for Choosing an HSA […]

Today we’ll take a look at how the various Covid-19 support programs, provided to both individuals and businesses, will affect their tax returns. 1. Support Programs for Individuals Several programs were started to support individuals and their families during the Covid-19 pandemic. For most programs, the Canada Revenue Agency (CRA) will be issuing a T4A […]

The Ontario Small Business Support Grant is additional support for small businesses in the province who had to close or restrict their operations because of the Covid-19 pandemic. It was first announced in December 2020 and offers funding of $10,000 to $20,000 to eligible businesses. This will be a one-time grant and is designed to […]

As we’ve stated in our previous blogs and newsletters, the Canada Emergency Business Account (CEBA) is an interest-free, partially forgivable loan program started to help businesses as a response to the Covid-19 pandemic. As of December 2020, the program provided funding to more than 700,000 businesses but this proved insufficient to mitigate the economic impact […]

The Canada Emergency Rent Subsidy (CERS) program is now open for application and provides direct relief to non-profits, businesses and charities that are finding it difficult to continue operations because of the Covid-19 pandemic. How To Apply You can apply for the subsidy for the period of September 27 to October 24, 2020 through your […]

The purpose of a Registered Retirement Savings Plan (RRSP) is to provide a means to save for retirement on a tax-deferred basis. Usually, withdrawing from an RRSP before retirement is not recommended. This is because the funds which are withdrawn cannot be recontributed and their future investment income is lost. However, there are two situations […]

On October 9, 2020, new subsidies were announced for small and mid-sized businesses. These subsidies include the new Canada Emergency Rent Subsidy (CERS), expansion of the Canada Emergency Business Account (CEBA) and extension of the Canada Emergency Wage Subsidy (CEWS). 1.Canada Emergency Rent Subsidy (CERS) The Canada Emergency Rent Subsidy (CERS) has been announced to […]

Are you thinking of starting your own business or buying an existing one? The first thing that you need to look at is its structure. This is because choosing the right structure will have a major impact on your estate planning as well as your personal taxes. Today, we’re going to look at three of […]

The rent subsidy program for small businesses was extended on July 31, 2020 to cover the month of August 2020. Tenants and landlords who initially applied for the period of April to July 2020 can now apply for August as well. The final date to apply for the rent subsidy in August is September 14, […]

On July 27, 2020, the Canada Revenue Agency (CRA) announced that it will be extending the due dates for some returns and payments. The original extended due date was September 1, 2020 and a further extension has been granted till September 30, 2020. Filing Deadlines Individuals The T1 personal tax filing deadline has been extended […]

Here are the tax return due dates for individuals, corporations, partnerships, trusts and estates. Individuals T1 returns are normally due on 1st June (for employed individuals) and on 15th June (for self-employed individuals). However, because of the pandemic, the Canada Revenue Agency (CRA) will not impose late filing penalties or interest if T1 returns are […]

Important Updates The most important update to the Canada Emergency Wage subsidy program is that it’s been extended till August 29, 2020. Originally, the program was available from March 15, 2020 till June 6, 2020. The Canada Revenue Agency (CRA) will introduce a process to amend errors in the submitted CEWS claims. Employers won’t be […]

The Canada Emergency Business Account (CEBA) offers partially forgivable, interest-free loans to small businesses that have experienced a decrease in revenue due to the Covid-19 pandemic. The amount of the loan is up to $40,000 and is provided to businesses to cover ongoing costs such as rent, insurance, utilities, taxes and employment expenditures. If the […]

CECRA is designed to cover 75% of the rent for small business owners and will cover the months of April, May and June 2020. This will allow small business tenants to avoid bankruptcy and in turn property owners will continue to receive rental income. Applications for the program are now open and eligible owners can […]

The CECRA program offers forgivable loans to commercial property owners. This in turn allows the owners to reduce the rents owed by their small business tenants by at least 75% for the months of April, May and June 2020. Eligibility In order to qualify for CECRA, a commercial property owner must meet the following criteria. […]

Eligibility Contract workers, wage earners, self-employed individuals who don’t qualify for Employment Insurance (EI) It is available for workers living in Canada who are at least 15 years old They should have earned at least $5,000 in 2019 year before their application from employment, self-employment, employment insurance maternity and parental benefits, and/or similar benefits paid […]

Eligible Employers (75% Wage Subsidy) Employers who are eligible include taxable corporations, individuals, partnerships consisting of eligible employers, registered charities and non-profit organizations. Employers of all sizes and across all sectors qualify except for public bodies. These employers must show a decline of 15% in revenue of March 2020 and a decline of at least […]

The Canada Emergency Business Account (CEBA) loan applications for $40,000 are opening tomorrow. These will be online applications and will be launched by all banks. Please make sure to apply through your Primary Bank only. Information Required In the Application You will need to put in your correct account number as the loan amount will be deposited […]

Since more and more of our daily activities are going online, it has become vital that we take measures to protect ourselves from digital fraud. Scammers can target anyone from kids to retirees and even small businesses. March is fraud prevention month in Canada and we would like to highlight some simple steps you can […]

In order to serve you better, under the current difficult circumstances, we are extending our virtual tax filing services to all of our clients. You will be able to use a safe online portal to upload your documents and we will be happy to review your tax returns and communicate with you via Zoom and […]

If you’re a parent, the Canada Revenue Agency (CRA) offers a number of ways you can save money while raising your child. This is done through various tax credits and tax deductions. Deductions for Child Care Expenses You can use this deduction if you’re using daycare or babysitting facilities while you’re at work. The annual […]

Here are the basic rules which govern investments in a Registered Retirement Savings Plan. 1. Deduction Limits Your deduction limit will be available on your Notice of Assessment provided by the Canada Revenue Agency (CRA) after you’ve filed your annual tax return. Use the following table to calculate this amount yourself. 2. Earned Income Sources […]

Did you know that most non-cosmetic dental expenses are tax deductible? Read on to find out what you can claim on your tax return. To do this you will use the Medical Expense Tax Credit (METC) and this will allow you to reduce the tax that you have to pay or have already paid. You […]

Here are our tips on making 2020 a successful financial year. 1. Setting Goals that Matter to You Everyone’s financial situation is different so naturally your financial goals will be different as well. Take a few minutes to ponder what you would like to achieve this year in terms of your finances. Two to three […]

Merry Christmas and Happy New Year from everyone at Syed A. Raza Professional Corporation CPA, LPA.

A startup cost can be any money or capital which you spent to get your business off the ground. For example if you’re a starting a website development company then your startup costs would include computers, desks, chairs and various software etc. If you want your costs to be tax deductible then these costs must […]

Getting right into it. What is an RRSP? A Registered Retirement Saving Plan (RRSP) is a government sanctioned investment plan designed to help a taxpayer save for retirement by making contributions that are tax deductible. This means that you can contribute to an RRSP and claim the deduction from the income in the year of […]

Here is a list of must-do accounting tasks for all business owners. Organize your accounting records Review bank reconciliations Go over accounts receivable Go over your financial documents Think About what you can write off    Ask about additional deductions Plan your taxes Think about what changed this year 1. Organize Your Accounting Records Your […]