The ever-changing technology field has resulted in tremendous opportunity, growth and profitability for business owners quick to identify and meet marketplace demands.
Fundamental to financial success is maximizing profit and minimizing operating expenses. Yet equally important, is managing your after-tax cash flow through smart tax planning to ensure you take full advantage of the tools available. Here’s a sample of the tax areas that should be reviewed to maximize profits:
For 2014, corporate tax rates remain unchanged, calculated at 15.5% of the first $500,000 of associated company income and 26.0% on any remaining balance of income. If your corporate income is above $500,000, then there may be opportunities to restructure the operations to use multiple companies to reduce the corporate tax burden.
There are many tax planning options that can be considered. Although some options are more complex, the tax advantage can be significant:
Attention to the above points early in 2014 should be of assistance to help identify and understand tax planning options. However, in the end, tax planning strategies that are implemented should be customized around the specific facts of your corporate and personal financial situation.
If you'd like to learn more about tax planning strategies for your business, or have any questions about the information above - please feel free to contact me.
This blog summarizes the technical and financial changes made to the SR&ED program as of Jan 2014.
For project descriptions, CRA wants project descriptions to include the following five elements:
A good example illustrating these aspects is as follows:
These stringent new requirements are coupled with a reduction in tax credits. These reductions are more significant for larger corporations; for small, private corporations (CCPC'S), the following are reduced:
Every month at our meetups, we have two Get To Know Your Members (#G2KYM) spots.
These 3-5 minute intros allow our members to share their story with us. An ideal #G2KYM intro includes:
We also require the following information on 3 slides
For the past year RedBit has been in Collaboration with the Town of Oakville providing perspective on what RedBit has delivered in terms of projects that leverage OpenData and also how OpenData has benefited RedBit from a business side perspective. Our President, Mark Arteaga has detailed his experience with Open Data on his own website.
Now, the town of Oakville is holding it’s first OpenData Meetup to get feedback from citizens, businesses and the community in general on what they would like to see from an Open Data perspective. The town is ready to open up it’s data, but wants feedback. Mark will be doing a presentation on OpenData and how RedBit has benefited from it.
Town of Oakville has a dedicated page for their Open Data initiative so make sure to keep an eye on it for any updates and their dedicated twitter account @OpenOakville
Be sure to join the town and the rest of the community and Sign up now through Eventbrite!