One-stop Canadian tax information center
Issuing T4 and T4A information slips is what a small business owner should be familiar with especially if the business hires employees or sub contractors.
As an employer, you are responsible for making regular deductions from your employees’ remuneration. You have to remit the deductions along with your share of contributions to the Canada Revenue Agency (CRA). And you have to report your employees’ remuneration and deductions on the T4 slips.
The following table shows the Canada Pension Plan (CPP) rates, maximums and exemptions from 2006 to 2014.
The following table shows the Canada Pension Plan (CPP) contribution rates, maximums and exemptions from 1997 to 2005 (click here for current rates and maximums):
The Canada Pension Plan (CPP) rate and exemption remains the same in 2013. But the maximum pensionable earnings increase $1,000 to $51,100 in 2013 from $50,100. As a result, the employees who earn $51,100 or more will have to make $49.50 more in CPP contribution compared to 2012. Employers will also see their CPP expenses…
If you are self-employed, you have to pay Canada Pension Plan (CPP) contribution based on your net profit (after expenses).
If you are self-employed, you have to pay Canada Pension Plan (CPP) contribution based on your net profit (after expenses).
It is well known that medical expenses are personal expenses. They are only eligible for a tax credit (not a deduction) for the amount over 3% of net income. It is relatively little known that you can write off medical expenses if you own a business with a private health services plan (PHSP), a structure…