Small business owners in Coquitlam, BC often face complex tax issues while trying to grow their business. Questions about deductions, filing deadlines, and compliance with CRA regulations are common. At Ravi & Associate CPA Ltd., we provide clear answers and professional guidance to help Coquitlam entrepreneurs manage their taxes efficiently.
1. What Expenses Are Deductible?
Understanding which expenses are deductible is crucial for minimizing tax liability. Common deductible expenses include rent, utilities, office supplies, salaries, marketing costs, and professional fees. Accurate record-keeping ensures these deductions are properly claimed.
2. When Are Taxes Due?
Small business tax deadlines depend on your corporate structure. Generally, corporate tax returns are due six months after the fiscal year-end, and personal taxes are due by April 30. Payroll remittances and GST/HST filings may have monthly or quarterly deadlines. Staying organized prevents penalties.
3. How Do I Handle GST/HST?
Businesses in Coquitlam must collect and remit GST/HST if they exceed the small supplier threshold. Understanding filing frequencies and eligible input tax credits helps reduce errors and ensures compliance.
4. Can I Claim Home Office Expenses?
For business owners working from home, a portion of utilities, rent, internet, and other expenses can be claimed as home office deductions. Proper calculation based on the workspace ratio is necessary for accurate reporting.
5. What About Payroll Taxes?
Employers are responsible for remitting payroll deductions, including income tax, CPP, and EI contributions. Late or incorrect remittances can result in CRA penalties. Professional assistance ensures payroll compliance.
6. How Can I Reduce My Tax Liability Legally?
Effective tax planning includes maximizing deductions, claiming eligible credits, and strategically timing income and expenses. Consulting an accountant helps small business owners implement legal strategies to reduce liabilities and retain more profits.
7. What Happens If I Am Audited?
CRA audits are a possibility for any business. Maintaining organized records and accurate bookkeeping ensures that your business is prepared. Working with an accountant provides guidance and support throughout the audit process.
Why Coquitlam Businesses Choose Ravi & Associate CPA Ltd.
Our team specializes in small business accounting and tax services in Coquitlam. We provide tailored solutions, proactive advice, and professional support to help entrepreneurs manage taxes efficiently, remain compliant, and focus on growth.