When owning a small business, it is important to know what can and can’t be claimed on your taxes as a business expense. While often the thin line can be blurred between personal expenses and business expenses, a false claim can cost you money and even bring an alarming auditor to your door. Let’s take a look at what can be expensed, and how to claim a business expense properly. Business Operating Expenses The first and foremost thing to examine in your tax claims is the cost of operating your business. From client meetings and delivery vehicles to fuel and even repairs, these are all factors that are required to run your business and can all be claimed on your taxes. However, these claims a
One of the most dreaded words when talking about your paycheck is deductions. Unfortunately, we all have to pay them. However, understanding what is being deducted and why can leave everyone with a little more peace of mind as to where their money is going. There are 3 types of mandatory payroll deductions in Ontario, as well as 3 optional deductions employers can choose to include. Let’s take a look at each one. 1. Income Tax Payroll Deductions As everyone knows, income tax is legally unavoidable as every employer is required to deduct income tax from each employee’s payroll. The amount deducted in Ontario is based on the employees overall income. Typically, the income to deduction percenta
