Commonly Missed Tax Deductions
Many small business owners in BC miss out on deductions like home office expenses, startup costs, business vehicle use, and professional development. Track your receipts and mileage to claim the full benefit.
Should You Incorporate?
Incorporating in BC offers tax planning options and limited liability but comes with more admin. It suits businesses planning to grow or retain earnings.
GST and PST in BC
Most businesses must register for GST if revenue exceeds $30K. PST is provincial and applies based on goods/services sold in BC. Be aware of deadlines and reporting cycles.
Salary vs Dividends
Paying yourself via salary builds RRSP room and CPP but adds payroll filings. Dividends are simpler but may not create those benefits. A mix often works best.
Bookkeeping Mistakes
Common errors include mixing personal and business expenses, ignoring GST, not saving receipts, and not reconciling accounts. Good software and regular reviews help.
WCB in BC
WorkSafeBC registration is required if you hire workers. Coverage protects your business and team. Register early to avoid penalties.