TAXATION

TMI is constantly upgrading their knowledge in the tax field in order to optimize your tax deductions and credits while respecting strict compliance with tax legislation. Each tax planning is customized to each case. We make sure to involve the right people required to satisfy the specific needs of our much diversify clientele.

  • PERSONAL TAX (T1) - RESIDENT OF CANADA
  • PERSONAL TAX (T1) – NON RESIDENT OF CANADA
  • CORPORATE TAX (T2)
  • IN-TRUST TAX (T3)
  • SALES TAX (GST-QST)
  • OTHER TAXES & U.S. TAX

TAXATION

TMI is constantly upgrading their knowledge in the tax field in order to optimize your tax deductions and credits while respecting strict compliance with tax legislation. Each tax planning is customized to each case. We make sure to involve the right people required to satisfy the specific needs of our much diversify clientele.

  • PERSONAL TAX (T1) - RESIDENT OF CANADA
  • PERSONAL TAX (T1) – NON RESIDENT OF CANADA
  • CORPORATE TAX (T2)
  • IN-TRUST TAX (T3)
  • SALES TAX (GST-QST)
  • OTHER TAXES & U.S. TAX

PERSONAL TAX (T1)

RESIDENT OF CANADA

Your personal tax is filed using a T1, Income Tax and Benefit Return. As a Canadian Resident, you must report every calendar year your total income from all sources inside and outside of Canada. Your net income and taxable income is determined after allocating the eligible deductions and tax credits you are entitled to. You may receive a refund or have a balance owing, which can also be zero.

Each Canadian province has their own set of rules and regulations for T1 reporting.

Your personal tax deadline to file and pay your dues for each calendar year is the 30th of April of the following year or by June 15th if you are a self-employed individual.

PERSONAL TAX (T1)

RESIDENT OF CANADA

Your personal tax is filed using a T1, Income Tax and Benefit Return. As a Canadian Resident, you must report every calendar year your total income from all sources inside and outside of Canada. Your net income and taxable income is determined after allocating the eligible deductions and tax credits you are entitled to. You may receive a refund or have a balance owing, which can also be zero.

Each Canadian province has their own set of rules and regulations for T1 reporting.

Your personal tax deadline to file and pay your dues for each calendar year is the 30th of April of the following year or by June 15th if you are a self-employed individual.

NON-RESIDENT OF CANADA

As a non-resident of Canada, you must report and pay taxes on the income you received from sources in Canada. The type of tax you pay and the requirements to file your income tax return depends on the category of income you have received.

In general, Canadian income received by a non-resident is subject to Part XIII tax.

Your personal tax deadline to file and pay your dues for each calendar year is the 30th of April of the following year or by June 15th if you are a self-employed individual.

NON-RESIDENT OF CANADA

As a non-resident of Canada, you must report and pay taxes on the income you received from sources in Canada. The type of tax you pay and the requirements to file your income tax return depends on the category of income you have received.

In general, Canadian income received by a non-resident is subject to Part XIII tax.

Your personal tax deadline to file and pay your dues for each calendar year is the 30th of April of the following year or by June 15th if you are a self-employed individual.

CORPORATE TAX (T2)

In Canada, your corporate tax is filed using a T2, Corporation Income Tax Return. If the corporation is located in Quebec or in Alberta, you have to file a separate provincial corporation return. In Quebec, it is the CO-17 Form.

Corporate tax filing is due six months after the corporate year-end. Failure to file your return within this period may result in late filing penalties.

Many corporations pay their taxes in installments. Payment of the balance of tax due must be made two or three months after the end of the tax year depending on the balance due date.

Corporations are required to make installments if the total of their tax to pay is $3,000 or more for this year or last year. Same applies for installments for provincial or territorial taxes except for Alberta, the threshold is $2,000.

CORPORATE TAX (T2)

In Canada, your corporate tax is filed using a T2, Corporation Income Tax Return. If the corporation is located in Quebec or in Alberta, you have to file a separate provincial corporation return. In Quebec, it is the CO-17 Form.

Corporate tax filing is due six months after the corporate year-end. Failure to file your return within this period may result in late filing penalties.

Many corporations pay their taxes in installments. Payment of the balance of tax due must be made two or three months after the end of the tax year depending on the balance due date.

Corporations are required to make installments if the total of their tax to pay is $3,000 or more for this year or last year. Same applies for installments for provincial or territorial taxes except for Alberta, the threshold is $2,000.

IN-TRUST TAX (T3)

A T3 is a Trust Income Tax and Information Return form that reports your investment income in a trust. Investment income are generally mutual funds, business income trusts or income from an estate for a given tax year. Quebec residents report also the equivalent TP-646-V Form.

Deadline to file is within 90 days after the end of the trust's taxation year. Trusts that file the return late are liable to a penalty of 5% of the income tax that remains unpaid on the filing deadline, and to an additional 1% penalty for each full month the return is late, to a maximum of 12 months.

IN-TRUST TAX (T3)

A T3 is a Trust Income Tax and Information Return form that reports your investment income in a trust. Investment income are generally mutual funds, business income trusts or income from an estate for a given tax year. Quebec residents report also the equivalent TP-646-V Form.

Deadline to file is within 90 days after the end of the trust's taxation year. Trusts that file the return late are liable to a penalty of 5% of the income tax that remains unpaid on the filing deadline, and to an additional 1% penalty for each full month the return is late, to a maximum of 12 months.

SALES TAX (GST-QST)

  • GOODS & SERVICES TAX (GST)
    • CALCULATED AT A RATE OF 5% ON THE SELLING PRICE
  • QUEBEC SALES TAX (QST)
    • CALCULATED AT A RATE OF 9.975% ON THE SELLING PRICE

Example: You buy a taxable good for $100. Your total to pay is:

Total to pay before sales tax $100.00
GST ($100 × 5%) $5.00
QST ($100 × 9.975%) $9.98
Total to pay including sales tax $114.98

The Harmonized Sales Tax (HST) replaces the provincial sales tax and the GST in some provinces.

An agreement between Canada and Quebec stipulates that Revenu Quebec is responsible for collecting and administering the GST, HST and QST applications for all commercial activity in Quebec.

SALES TAX (GST-QST)

  • GOODS & SERVICES TAX (GST)
    • CALCULATED AT A RATE OF 5% ON THE SELLING PRICE
  • QUEBEC SALES TAX (QST)
    • CALCULATED AT A RATE OF 9.975% ON THE SELLING PRICE

Example: You buy a taxable good for $100. Your total to pay is:

Total to pay before sales tax $100.00
GST ($100 × 5%) $5.00
QST ($100 × 9.975%) $9.98
Total to pay including sales tax $114.98

The Harmonized Sales Tax (HST) replaces the provincial sales tax and the GST in some provinces.

An agreement between Canada and Quebec stipulates that Revenu Quebec is responsible for collecting and administering the GST, HST and QST applications for all commercial activity in Quebec.

OTHER TAXES & U.S. TAX

Other income taxes include declarations to prepare for nonprofit organizations, partnerships or registered charities.

Other consumption taxes include declarations to prepare for fuel tax, tax on lodging, tax on alcoholic beverages, tobacco tax, international fuel tax, tax on insurance premium, specific duty on new tires, municipal tax for 9-1-1, etc.

We also prepare U.S. Tax Returns in accordance with the U.S. regulations for Canadian Citizens and U.S. Citizens.

OTHER TAXES & U.S. TAX

Other income taxes include declarations to prepare for nonprofit organizations, partnerships or registered charities.

Other consumption taxes include declarations to prepare for fuel tax, tax on lodging, tax on alcoholic beverages, tobacco tax, international fuel tax, tax on insurance premium, specific duty on new tires, municipal tax for 9-1-1, etc.

We also prepare U.S. Tax Returns in accordance with the U.S. regulations for Canadian Citizens and U.S. Citizens.