Attention Contractors! 2011 Tax Return
#1
BE Enthusiast
Thread Starter
Joined: Mar 2009
Location: Calgary, AB
Posts: 487
Attention Contractors! 2011 Tax Return
Just wondered what % Tax you are paying for the 2011 Tax Year.
I have put away a chunk in anticipation of the Tax bill, and the accountant is figuring out what is best from a tax perspective.
Thank you!
I have put away a chunk in anticipation of the Tax bill, and the accountant is figuring out what is best from a tax perspective.
Thank you!
#2
Re: Attention Contractors! 2011 Tax Return
Going to depend on province, and income And probably how good their accountant is too...
#4
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Thread Starter
Joined: Mar 2009
Location: Calgary, AB
Posts: 487
Re: Attention Contractors! 2011 Tax Return
Ha ha! of course
#5
Re: Attention Contractors! 2011 Tax Return
I have only recently started working as a contractor - (as in the last 3 months) and so far, my expenses (licensing, registration, advertising etc) have far exceeded my income.... but I have been putting 40% of my income in a savings account with the idea that that is my tax payments.... I figure I would rather put aside more than I need. 2011 I really doubt I will have to pay any tax, but 2012 is looking more like it. since Christmas I have been doing really well.
#6
Re: Attention Contractors! 2011 Tax Return
Nothing in taxes, except the GST collected, but I can't get around that CPP/EHT/whatever bill once a year.
#7
Joined: Sep 2008
Posts: 12,830
Re: Attention Contractors! 2011 Tax Return
No way anyone can tell you other than your accountant, surely if you have one of these he can tell you. Depends on what inputs you are deducting, any capital cost allowances, personal allowances and how good your accountant is. What other businesses pay would be irrelevant to what you pay.
#8
Binned by Muderators
Joined: Jul 2007
Location: White Rock BC
Posts: 11,682
Re: Attention Contractors! 2011 Tax Return
I generally recommend new contractors to save 25% of their income and also put the HST aside. It is usually enough for earnings up to $80,000 before deductions. If more then 30%.
Last edited by JonboyE; Jan 24th 2012 at 1:33 am.