Do You Need a Toronto Small Business Accountant?
There are a lot of people that work from home, and have a small business on the side. A lot of women enjoy selling products on a commission basic like Arbonne or Avon. For those that are really enthusiastic about this they can make themselves some decent money. However, it also puts them into a different tax situation.
You probably view yourself as being self-employed, but the CRA will probably view you as having a small business.
If you are working by yourself then you are classed as a sole proprietor, if you are working with another person, then it is a partnership. If you have incorporated your small business then it is a Corporation. Depending on which of these categories you come into, determines how you file your tax.
If you are earning income just from commissions then you could technically be classed as an employee of the Company.
As you can see it can even be quite complex trying to determine which category you actually do fit into. The reason why it is so important to get this right is because you may be allowed to deduct certain expenses from the money you make. Each category allows for different expenses and you really want to make sure that you are taking advantage of the ones that are appropriate for you.
In order to take all the confusion and hassle out of your tax filing obligations it would be worth using the services of a quality accountant that specializes in small business accounting. You will gain several benefits from doing this.
First, this professional will know which category you income belongs in. He can then advise you as to what expenses you are eligible for. You will know then which records you must have in order to back up your tax information. Hopefully you have been keeping good accounting records. You might also want to consider bookkeeping services for small businesses, if this is something you have difficulty with. Your record keeping is vital to preparing a proper tax return.
Here at Toronto Accountant we welcome those that are self-employed or small to medium sized businesses. We offer reasonable rates without compromising the integrity of our services. Give us a call here at (416) 398-1700, and let us take the burden of tax filing off your shoulders.