You run your business we watch your books!

Your Accounting Department 

Subtitle

Business owners have financial obligations to themselves, their partners, their employees, their families, and of course the Canadian Government. Our experts gathered information from different resources (some directly from the Government of Canada and some from our own experiences), that will help you better understand how to forecast; where your business is today, where your business can get, how big your business can grow, and what steps you need to take to grow your business. All this while fulfilling your obligations to all stakeholders that take part in your business.


  • IN THE NEWS - some headlines making the financial news today, including Tax Evasion and Failure to File Taxes
  • YAD WHITEPAPERS- here we share tips from own own experiences as business owners
  • GST/HST - PENALTIES and INTEREST - four things you need to know to avoid penalties and accumulated interest
  • FREE FINANCIAL CALCULATORS AND TOOLS FOR BUSINESS OWNERS - CRA calculators/tools that will help you understand things like:

 

  • Budget Calculator
  • Financial Goal Calculator
  • Lease/Finance Car Calculator
  • Financial Literacy Self-Assessment
  • And more! Scroll down..

IN THE NEWS

YAD WHITEPAPERS

Below are important links anyone who is involved in accounting and bookkeeping (be it  a business owner, an employee, a student, financial adviser, or an individual doing their own finances) should follow:
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1.
www.globalnews.ca/tag/cra - this is great source to stay up-to-date on anything CRA related!
2.

Enforcement notifications: compliance actions - in this section of their website, "The Canada Revenue Agency (CRA) advises the media of cases of people, corporations, and trusts convicted in the courts for tax evasion or for failing to file income tax returns when required. " 


We feel that this is important information to share with our audiences. Always make sure your books are up-to-date and you are working with licensed professionals!

Below is a list of FREE and handy whitepapers about bookkeeping and accounting for anyone involved in accounting and bookkeeping be it  a business owner, an employee, a student, financial adviser, or an individual doing their own finances):

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1.
Top 10 Bookkeeping Tips for Business Owners - in this whitepaper we share top 10 guidelines that work for our business. We hope you find these helpful as well!
 2. 
 More to come
 3.
 More to come
 4.
 More to come
 5.
 More to come

GST/HST – Penalties and Interest

Canada Revenue Agency provides clear information on penalties and accumulated interest for late and incorrect filing of business taxes. We have included some of this information in the table below. 

For more details please visit CRA website, or reach out to us and our experts will help ensure this portion of your business is taken care of.
Type of Penalty
When it Applies
 Amount Charged
1. Failure to file
Any return you file late unless you are in one of the following situations:
  • there is a $0 amount owing
  • we owe you a refund
A + (B × C)
where:
A is 1% of the amount owing
B is 25% of A
C is the number of months the return is overdue, to a maximum of 12 months
  2. Demand to file
  If you receive a demand to file and do not do so.
$250.00
3. Failure to file electronically
  If you are required to file electronically and do not do so. For more information, see Mandatory electronic filing of the GST/HST return (GST34).
 $100.00 for the initial return not filed electronically.

$250.00 for each following return not filed electronically.
4. Failure to accurately report information

For those who complete their own filing, please (at least) consult a licensed professional
We have seen cases where a business owner may think he knows exactly what he is doing, but by using a wrong tax code, his GST/HST Summary Report does not end up matching his Profit/Loss Report, which then results in over $20,000 in discrepancy and potential penalty for incorrect filing.
For electronically filed returns, failure to accurately report information can include the following:
  • information that must be included, but was not
  • amounts (described further) that are over or under reported
  • amounts (described further) that are reported incorrectly

The amounts include all of the following:

  • recaptured input tax credits (RITCs)
  • grandparented sales of housing in British Columbia, Nova Scotia, Ontario and Prince Edward Island where the purchaser was not entitled to claim a GST/HST new housing rebate, new residential rental property rebate, or the Nova Scotia new housing rebate
  • resales of housing that are subject to the HST at 12% in British Columbia, 15% in Nova Scotia, 13% in Ontario or 15% in Prince Edward Island where the housing was originally purchased on a grandparented basis
  • the transitional tax adjustment for BC, Ontario and Prince Edward Island
  • provincial transitional new housing rebates for BC, Ontario and Prince Edward Island
Generally 5% of the amount plus 1% per month of the difference between what is reported and what should have been reported, until the amounts are corrected (to a maximum of 10%).

FREE FINANCIAL CALCULATORS AND TOOLS FOR BUSINESS OWNERS

Canada Revenue Agency provides free calculators and tools for business owners. We have included this information below to help our clients and visitors, who own a small to medium business, and are looking for some basic understanding of their business and its status/forecast from financial stand point.  

For more details please visit CRA website, or reach out to us and our experts will help ensure this portion of your business is taken care of.
FREE FINANCIAL CALCULATORS
 FREE FINANCIAL TOOLS
 FREE FINANCIAL ASSESSMENT & DATA BASE
Budget Calculator

Find out where your money is going and determine how much you can put towards your goals.

Bank Account Comparison Tool

Compare bank account interest rates, monthly fees, transaction fees and services.

Financial Literacy Self-assessment Quiz

A helpful quiz to test your money management skills and knowledge.

Mortgage Calculator

Calculate your mortgage payment schedule and how to save money by making prepayments.

 Mortgage Qualifier Tool

Find out if you can qualify for a mortgage based on the property you want, your income and your expenses.

Canadian Financial Literacy Database

A one-stop source for resources and events from Canadian organizations on budgeting, saving, investing and more.

Credit Card Payment Calculator

Find out how long it will take to pay off your credit card and explore options to pay it back faster.

Credit Card Comparison Tool

Compare credit card interest rates, annual fees, rewards and other features.

 
Financial Goal Calculator

Calculate how to pay down your debt and reach your savings goals.

 
 
Retirement Income Calculator

A step-by-step calculator to help you estimate your retirement income, employer pensions and other sources of income.

 
 
 Vehicle Lease or Buy Calculator

Compare the costs of financing or leasing a vehicle.