Income Tax Calculator Canada
July 19th, 2008
Question: Canada income tax – file income as an independent contractor?
I’m looking for some info on filing income from being an independent contractor. I worked 6 months in 2008 doing contract work (graphic design). I gave the company invoices and was paid monthly with no taxes or other deductions taken off. I’ve been putting aside a certain amount from each cheque based on an income tax calculator.
Now that it’s almost tax time, I’m not sure how to file this income – I usually use Quicktax or another software to do it myself. Do I claim it as small business income (T2125)? I read that if you make under 30k (my amount is roughly 20k) from small business, you don’t need a GST number – I don’t have a GST number so I am hoping this is correct.
I may end up getting an accountant to do my taxes for me, but if it itsn’t too complicated I’d like to do it myself as I like to learn about these things and do it on my own.
Answer: You might want to get a GST registration number anyway, as you can get a refund of GST paid on items that you purchased to create your designs. It’s called an Input Tax Credit.
Laurentian Bank Offers Savers Some Practical Tools to Help Maximize Their Savings While Reducing Their Taxes
With only a few weeks remaining before the end of the RRSP season, now is the time to be thinking about tax returns. And when we are talking about taxes, we also need to be thinking RRSPs.
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