Salary or dividends for an incorporated physician
Salary or dividends for an incorporated physician Key takeaways Only salary creates RRSP room and CPP contribution history for the physician. Dividends do not create RRSP room, do not count as earned income for CPP, and do not generate contribution room for future...
Paying family from a veterinary corporation: what TOSI allows
Paying family from a veterinary corporation: what TOSI allows Key takeaways The “excluded shares” exception to the tax on split income is not available to a veterinary professional corporation. Splitting income with family without triggering TOSI relies on...
The associate dentist personal services business trap
The associate dentist personal services business trap Key takeaways A personal services business loses the small business deduction, paying about 27 percent on all income from the first dollar. PSB status also adds an extra 5 percent federal tax and denies nearly all...
How much tax does incorporating save a chiropractor
How much tax does incorporating save a chiropractor Key takeaways A chiropractic corporation pays about 11 percent on the first $500,000 of active income. Income above $500,000 is taxed at about 27 percent. The benefit is deferral: income left in the corporation grows...