Chamber: Visitors Centre: |
Your association or organization has been identified as a key stakeholder of the Canada Revenue Agency (CRA). We hope you will share the following information with your membership. English version What you need to know about the small business deduction Do you run a small business in Canada? You may be eligible for the small business deduction. What is the small business deduction? Eligible businesses can claim the 17.5% small business deduction on their first $500,000 of income, with some limitations. You can use the resulting tax savings to help your business grow. It is important to make sure you are eligible before you claim the small business deduction. The Canada Revenue Agency (CRA) considers the specific facts of each case in order to determine eligibility, and a reassessment may be completed to disallow the small business deduction if you are not entitled to claim it. Who can claim the deduction? To be eligible to claim the small business deduction, you must be a Canadian-controlled private corporation carrying on a business in Canada throughout the year and meet at least one of the following conditions:
For example, you own a small storage facility and your business is a Canadian-controlled private corporation.
How to claim the deduction?Corporations have to file a T2 Corporation income tax return within six months of the end of their tax year. If your corporation is located in Quebec or Alberta, you have to file a separate provincial corporation return. For more information on how to claim the small business deduction, go to Chapter 4 of the T2 Corporation – Income Tax Guide.More informationFor detailed rules about the small business deduction, see Income Tax Interpretation Bulletin IT73R6, The Small Business Deduction.Stay connected To receive updates on what is new at the Canada Revenue Agency (CRA), you can:
|
|
Fort Nelson & District Chamber of Commerce
5500 Alaska Highway
PO Box 196
Fort Nelson, BC, V0C 1R0
Phone (250) 774-2956
Fax: (250) 774-2958
info@fortnelsonchamber.com
Copyright © 2014. All Rights Reserved. Site provided by MicroNet - powered by ChamberMaster software.