Taxation for Self-Employed Individuals and Small Businesses
It is always better to be pro-active, rather than reactive when dealing with taxation. Proper planning is critical in helping individuals maximize their tax refund and reduce the overall risk of being audited by the Canada Revenue Agency. Self-employed individuals must file their tax return every year by June 15th and, pay any balance in taxes owed by April 30th. The income generated from self-employed work is reportable as business or professional income on your personal tax return. It is crucial that you have documentation for all incoming fees you incur, such as income slips, receipts, contracts, letter agreements or invoices.