We offer tax preparation services for small businesses and contractors, helping them maximize the expenses they are allowed to claim so that they can reduce the taxes they have to pay at the end of the year.
Some companies offer the option to receive your full paycheque without payroll deductions by working as a contractor instead of as an employee. This arrangement can benefit both you and the company by reducing the amount of taxes paid.
If you’d like to be paid as a contractor, we guide you through the entire process and remain available year-round to answer your questions. Our contractor clients tell us that they prefer us over others because we are very responsive, and that we genuinely care about saving them money on their taxes.
YEG TAX MASTERS
Contractor Accounting – Edmonton & Area
780-691-3982
Edmonton Contractor Accounting Services – Personalized Support
Should I become start a corporation?
If your company allows you to work as a contractor, the first step is deciding whether to be paid directly under your SIN number or through a corporation. Getting paid personally is simpler and doesn’t require the cost of setting up or maintaining a corporation, but the drawback is that you’ll likely pay more in taxes depending on your income bracket, and you’ll also be personally liable for any legal issues. While this option can save money in the short term, it usually costs more over time because personal tax rates are much higher than corporate tax rates. On the other hand, incorporating requires registration and ongoing corporate tax filings, but it provides access to lower corporate tax rates and limits your liability to the corporation. For these reasons, we generally recommend opening a corporation, as it offers both financial and legal advantages in the long run. We can help you with this, step-by-step.
Once you’ve opened up your corporation, the next step is to keep track of all your expenses by opening up a business bank account and paying for all your work related expenses through that account. You’ll want to ensure you keep track of all the receipts because the CRA requires all transactions in the bank account to be matched with the corresponding receipt. If you have a vehicle you are using specifically for work, you can get that vehicle insured under your corporation’s name so that the depreciation of that vehicle can also be used to help decrease the amount of taxes you have to pay at the end of the year. The main thing is to make sure to keep track of all your receipts. If you think you might lose them, there are many apps you can use to scan them and have them saved. We can help you with this, step-by-step.
At the end of the year, you would come to us with all your bank statements and receipts and we would go through everything with you to make sure we’re not missing any expenses that you are eligible to claim so that you save the most on your taxes.
YEG TAX MASTERS
Contractor Accounting – Edmonton & Area
780-691-3982
Edmonton Contractor Accounting Services – Personalized Support
Frequently Asked Questions
How much money should I expect to pay to start off if I wanted to go with the corporation route?
The main cost you will have is approximately $500 to open up your corporation fee to get going. There will be also be some additional costs throughout the year such as renewal fees, bank fees and filing your corporate taxes.
What exactly am I paying you for, and when do I have to pay?
You’re paying for year-round support with any corporation-related questions you may have, big or small. At the end of your business fiscal year, we also prepare and file your corporate taxes. You don’t need to pay us until the tax filing is complete.
If you’re used to being on payroll, you’ve likely never had to think about deductions or how much tax you’ll owe at year-end. Switching to receiving your full pay and managing your own expenses can feel overwhelming at first. That’s where we come in.
The main thing we’re known for, something our reviews highlight as well, is guiding our clients through the entire process and being available year-round to answer any questions. You’ll benefit from paying less in taxes, while we take the stress of organizing, filing, and planning off your shoulders. With us, you’re never on your own… we’re with you every step of the way.
YEG TAX MASTERS
Contractor Accounting – Edmonton & Area
780-691-3982
Edmonton Contractor Accounting Services – Personalized Support
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