Municipal taxation in Ontario generally takes the form of real property taxation. Ontario municipalities do not impose sales taxes or income taxes. real property taxes are not imposed by the federal government. Municipalities levy and collect property taxes based on assessed values determined by the Municipal Property Assessment Corporation. Municipalities may also levy development charges […]
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Ontario Sales Taxes
All Canadian provinces have some form of general or limited sales tax, such as sales taxes, use taxes, value-added taxes, or specific sectoral taxes on fuel, tobacco, or hotel and accommodation taxes. Prior to the implementation of the HST, the Ontario retail sales tax (“RST”) formerly applied at a rate of 8% to most sales, […]
Canada GST/HST for property and services made in Canada
The Gst/HST applies only to supplies of property and services “made” in Canada. supplies of property and services that are made outside Canada are beyond the scope of the Gst/ HST. special deeming rules are contained in the legislation for purposes of determining when a supply is made inside or outside of Canada. Furthermore, certain […]
Canada GST/HST for goods imported into Canada
The Gst/HST is generally payable on the duty-paid value of goods imported into Canada. the duty-paid value is the value for duty determined for customs purposes plus any customs duties and excise duties and taxes. tHSThst payable on imported non-commercial goods is collected by the Canada border services Agency (“CBSA”) at the same time customs […]
Canada GST/HST registration requirements
As a general rule, all persons engaged in a “commercial activity” in Canada must register to collect the Gst/HST within 30 days of first making a taxable supply in Canada. Generally, non-residents are required to register only if they carry on business in Canada and make taxable supplies in Canada. it should be noted, however, […]
Canada Harmonized Sales Tax
Canada imposes a value-added tax known as the Goods and services tax (“GST”) on the supply of most property and services in Canada. Gst applies at a rate of 5% in all Canadian provinces and territories except for five provinces that have harmonized their provincial retail sales tax (Pst) with the Gst. Ontario is one […]
Ontario Rates of Taxation
Ontario Tax Rate for Individuals Under both federal and Ontario legislation, marginal tax rates apply to individuals. For 2012, the combined federal and Ontario top marginal rate for individuals is 46.41% for ordinary income (such as salary and interest), 23.2% for capital gains and approximately 29.54% for eligible dividends. In the Ontario budget, released March […]
Ontario income tax on individuals and corporations.
In Canada, both the Ontario and federal governments impose an income tax on individuals and corporations. The federal government collects personal income taxes for Ontario. residents of Ontario file one combined federal and Ontario income tax return with the Canada revenue Agency (the “CRA”). As a result of a “harmonization”, effective for tax years beginning […]
Establishing a Branch in Canada
Branch Operations branch operations in Canada are an alternative to incorporation. A non-Canadian corporation may register to carry on business in Canada as a branch in the same manner as a corporation incorporated federally or in another province. Non-Canadian corporations with branch operations must appoint a local agent for the service of court documents. A […]
Establishing a new business in Canada as a Corporation
Direct investment in Canada is often through the establishment of a corporation. Corporations may be formed under provincial or federal law. Incorporation may be effected rapidly and inexpensively. Often the most pressing initial matter is to choose a corporate name that is not confusingly similar to an existing corporate name or trademark. incorporation is achieved […]
