Tax Tip: You are the only shareholder of your small business corporation (not splitting income with other shareholders for 2017). How should you pay yourself from your small business (CCPC) by management salary (T4) or dividends (T5)? This is a complicated question but if you expect to live at least to 75 and you contribute to RRSPs the management salary wins every time. This is especially true with the new income sprinkling rules coming into effect this year (although they are reducing the gross up by 1%). Contact us for more details on your particular situation.
Serving Langley, Aldergrove, Surrey, Pitt Meadows, Maple Ridge, White Rock B.C. since 2002.