top of page
Tax Preparation.jpg

Entrust Accounting & Advisory Services

TAX PREPARATION

Tax Preparation is the process of preparing and filing of personal or corporate tax returns.

Tax Preparation focuses on:

  1. Collection of information slips such as T4's, T3's and T5's.

  2. Preparation of schedules.

  3. Review with the client and signoff.

  4. E-file of tax return to CRA.

​

Every person “resident” in Canada at any time in the year is required to file and pay taxes. A resident is primarily defined as a person living in Canada for 183 days or more, a member of the Canadian Forces, or a servant of Canada or a Province. There are more definitions regarding resident, so if you have any questions regarding your specific situation, you should contact a CPA.


The “person” definition includes any individual, corporation, partnership, or separate legal entity. There are exceptions, so if you have any questions regarding your specific situation, you should contact a CPA.
The two most used forms to file taxes are the T1 for individuals who have income from an office or employment, and the T2 for Corporations. All corporations must file a T2 return for every taxation year, regardless of whether tax is payable. Registered charities are exempt from filing a T2.

Tax Preparation for small businesses

PERSONAL TAXES (T1)

There are various levels of complexity when filing T1 tax returns for individuals who have income from ‘(public) office or employment’, or income from ‘business and property’.
Individual tax return for income from an ‘office or employment’

  1. Basic T1 returns are where "information slips" are issued from an institution. Includes T2202, T3, T4's, T5's, and T5013

  2. More complex T1 returns may included information slips, but also include schedules required to be filled out in support of:

    1. Tax on Split Income for business where family members are actively involved

    2. Foreign income

    3. Capital Gains or Losses

    4. Multiple residences

​

Individual tax return with income from a ‘business or property’

  1. May include income from ‘business and property’, plus

  2.  Business (unincorporated) income which includes a profession, trade, manufacture or undertaking of any kind whatever

  3. Property income which is widely defined and includes income from any property that can create capital gains or losses when you dispose of it

  4. Returns that include T2125 Business Activities

  5. Returns that include Rental Income T776's


CORPORATE TAXES (T2)

Tax returns for corporations

  1. Small business – compiled financial statements provided

  2. Small business – compiled financial statements required to be compiled

  3. Non-small business - compiled financial statements provided

  4. Non-small business – compiled financial statements required to be compiled


​

TAX PREPARATION

bottom of page