Insights

BC Employer Health Tax 2026: Thresholds, Rates and the Cliff at $1.5MKey takeawaysPayroll of $1,000,000 or less pays nothing. The exemption doubled in 2024, so recheck rather than assume.Between $1M and $1.5M the rate is 5.85% of the amount above $1,000,000.Over $1.5M...

Incorporation costs money. You need a corporate tax return, a minute book, annual filings, and legal costs for the initial setup. The annual cost of runnin

The RRSP limit is 18 percent of earned income to a maximum of $33,810 for 2026. That limit is the same for a physician earning $200,000 as it is for one ea

The agreement you sign with a hygienist does not determine whether they are an employee or a contractor. CRA applies the RC4110 common-law test to the actu

Salary is earned income. That is important because earned income determines how much RRSP contribution room you build for the following year. Dividends are

The TOSI rules, short for tax on split income, tax certain payments to family at the top marginal rate. One of the main exceptions, the excluded-shares exc

A personal services business is a corporation that would be considered an employee of the client if the individual were working directly instead of through

A Canadian-controlled private corporation pays about 11 percent on active income up to $500,000. That is 9 percent federal plus 2 percent in BC. Above $500

The Lifetime Capital Gains Exemption lets you shelter up to $1,275,000 of capital gains on a qualifying share sale in 2026. That is indexed from $1,250,000

The College of Physicians and Surgeons of BC requires that voting shares of a medical professional corporation be owned by eligible licensees, physicians w

The tax on split income rules have an important exception for excluded shares. To qualify as excluded shares, the corporation must not be a professional co

The Lifetime Capital Gains Exemption lets you sell qualifying shares of a Canadian-controlled private corporation and shelter up to $1,275,000 of capital g