Incorporation query
 

Part of the arrangements for my new job are that I incorporate. I don't have any big problem with this as, for most of my working life, I've been self employed or traded as a limited company.
I intend to use an accountant to do my books each year as, in my experience, they usually save me more in tax than they charge in fees, and the fees are deductible anyway. Being in a new country as well I want the peace of mind that my tax affairs will be done right. Never messed with tax or customs, don't intend to start now.
I've been to see a local accountant who I feel would do a good job. He explained the ins and outs of incorporation and the benefits I might receive. The only problem is with his fees for incorporation. He has quoted me $1500 which I think is a bit high. As far as I know this includes the lawyers fees and GST registration and I am seeing him today to clarify this and one or two other points.
His 'year end' fees are quite reasonable but the incorporation rates seem high. I only intend to incorporate for BC.
Would any of you accountant types out there be able to offer me a bit of advice?
Many thanks, Ray

Re: Incorporation query
 

I'm not an accountant but:

- I don't think you can write off accounting fees, my bill for accounting says "Investment Advice"

- I paid about $800 for each Ontario corporation, $1500 does seem rather a lot.

Re: Incorporation query
 

It's down as "legal, accounting and professional fees" on my T1 this year. All $75 of it:D

Re: Incorporation query
 

Where in BC are you? We have a very good accountant who might be able to help you. His rates are quite fair and we find his work to be very good. There are no charges for a business number from the government and you can easily get this yourself. If you want you use a name, not a number then you would need to search and register the name. All this can be done from here http://www.bcbusinessregistry.ca/introduction/index.htm

All professional fees in connection with a business are fully deductible.

Re: Incorporation query
 

Hi Surrey Expat. I'm in Creston. I will be using a number and not a name. I'm just a bit confused (down to my age!) with what is involved with incorporation here and anxious to get it right, without getting gouged.

Re: Incorporation query
 

I did expect around the $1000 but not $1500

Re: Incorporation query
 

I got an incorporated business set up online with GST registration and a few knobs and whistles for just over $100. That was back in November last year and it's functioning ok...

That was with: http://www.bdc-canada.com

Re: Incorporation query
 

$1000 seems about right. A lawyer can do the incorporation for you. Maybe call a couple and see what they would charge. Often they have off the shelf companies ready to go.

Our accountant is a bit far away for you.

Re: Incorporation query
 

I don't know about other provinces, but in Saskatchewan the directors have to consist of a majority of Canadian citizens. At least unless they have changed it in the last couple of years.

Re: Incorporation query
 

I'm was just a 2nd class resident of 1 month and I'm the majority director. Although Ontario is a bit more advanced and more sophisticated in it's business programs than Sas-catch-you-an.:)

Re: Incorporation query
 

It sounds quite high to me too. I would tell him so and ask how the cost is calculated.

There is a fee of about $350 to pay to the government so you need to be sure this is included in his quote. Also, have you asked for any special provisions to be included in the articles? This could increase the cost if he needs to get a lawyer to draft them. If not, why is he using a lawyer? Otherwise I can't see that a simple incorporation and filing of a business number application will take more than a couple of hours of his time.

Re: Incorporation query
 

Hi,

My OH needs to get incorporated when we reach BC in July. We were told the legal fees would be $1000ish plus the $350 for the government charges. This was in a meeting with a lawyer in Comox.