Internet Marketing Ontario
Corporate Tax Rates in Ontario?
I was wondering what the Corporate Tax Rate is in Ontario? Would running a General Partnership be cheaper on tax? A friend and I are planning on opening up an internet marketing business. He lives in Vancouver, while I’m living in Ontario. Thanks for your help.
For up to $400,000 in Ontario, your combined federal and Ontario corporate tax rate is 33.5%, or 16.5% if eligible for the small business deduction. Then, you pay additional personal taxes on your salary from your corporation, and you may calculate the personal tax rate from the link below. http://www.morningstar.ca/globalhome/Mar…
http://www.kpmg.ca/en/services/tax/docum…
In a general partnership, the partnership income flows to each partner based on its partnership interest, and taxed on an individual rate. If you anticipate that your business income will be low or suffering losses, it is better taxwise to be in a partnership. However, you lose the limited liability protection offered by a corporation. A limited liability partnership may be an option.
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