Payroll or Dividends ??

[Weitz]

Isn't the CRA going hard at people who are "incorporated" but only work for one company?

Or was that just talk from a couple years back?

[CorsiHockeyLeague]

It definitely was the talk a few years back, but that doesn't mean they aren't still doing it.

[automaton 3]

Great advice here. I'll only add that we review with our accountant yearly and continue to tweak based on the year we had, our goals and taxation changes.

I agree on the CPP comments. You need to live for quite awhile for it to pay off. If you die early, too bad for your beneficiaries.

On deducting a portion of your house, we all have to declare when we sell our principal residences now. Not sure if CRA is ready to flag it, but it might be coming.

Our accountant to start with was a really nice guy but gave us basically no practical advice. If you're in the same boat I suggest you jump ship immediately. Our current accountant gives good advice and it feels like he is an active participant in realizing our goals.

[DJones]

Originally Posted by CorsiHockeyLeague

It definitely was the talk a few years back, but that doesn't mean they aren't still doing it.

The contractor test is well documented by precedent. They would have to change the test itself which to really shake things up. I don't see it happening. Look at the #### storm that occurred when they increased passive income taxes. Forcing a bunch of contractors to be employees would cause riots.

You are more likely to be caught if you are falsely claiming to be a contractor now though. Everyone wants to be a contractor to get away from the ridiculous employment tax rates. So they are cracking down on people but they haven't changed the test.

[Angelamc]

Originally Posted by canada_hdk21

I do have an accountant but she has said "i can't tell you what to do only show you your options"

Your accountant should be directing you on these matters. That's why they are paid the big bucks for year end filing for your Inc.

[canada_hdk21]

Originally Posted by Angelamc

Your accountant should be directing you on these matters. That's why they are paid the big bucks for year end filing for your Inc.

YES! I made an appointment to come in and pointed this out to her .. I must have been confused, she gave me 3 different options she thought would work for me and wanted me to fully understand them before choosing .. my mistake i thought she wanted me to pick so when I go in on Thursday she will review with me and choose the option that works best for my situation.

[Locke]

Originally Posted by canada_hdk21

YES! I made an appointment to come in and pointed this out to her .. I must have been confused, she gave me 3 different options she thought would work for me and wanted me to fully understand them before choosing .. my mistake i thought she wanted me to pick so when I go in on Thursday she will review with me and choose the option that works best for my situation.

Its not a game of 3-card Monte.