What is Security and Collateral?
Security is the legal claim a lender takes over specific assets to protect its position if the borrower defaults; collateral is the […]
What is the Small Business Deduction (SBD)?
The Small Business Deduction is a federal tax reduction that lowers the corporate tax rate on active business income for Canadian-Controlled Private […]
What is a Shareholder Loan?
A shareholder loan is money borrowed from or lent to a corporation, and the CRA monitors it closely to ensure it is […]
What is a Section 85 rollover?
A Section 85 rollover is a provision of the Income Tax Act that allows eligible property to be transferred to a corporation […]
What is Scientific Research and Experimental Development (SR&ED)?
SR&ED is the CRA’s tax incentive program that provides credits and deductions for eligible research and development expenditures, one of the most […]
What is the difference between salary and dividends?
Salary is employment income paid to the owner-employee and is deductible to the corporation; dividends are distributions of after-tax corporate profit to […]