Entries by Maureen

CRA (Canada Revenue Agency) – Requests and Expectations

The written request was dated September 15th with a deadline of October 15th for filing, which he missed. It’s not that he didn’t want to complete the very detailed 4 page form. It didn’t get done because he was overwhelmed every time he started compiling his numbers. Then he went online and googled to see all the problems that developed when others completed and submitted their forms. He was close to a breakdown by the time he arrived at my office.

3 Bookkeeping Apps to Make Life Easier

Last week I attended the 4th Annual IPBC conference. IPBC is the acronym for the Institute of Professional Bookkeepers of Canada. As a Certified Professional Bookkeeper (CPB) it’s imperative that I stay up to date on the ever changing information, rules and guidelines as they impact accounting, software and the law. From this conference there are 3 bookkeeping apps to make life easier that I want to share with you.

Buying a Franchise? – 4 Key Financial Considerations

currently have two customers that are at different stages in buying a Franchise. They have asked me for my opinion on the purchasing and financing of the businesses. One customer is buying a Franchise that has been in operation for almost two years, so they’re purchasing from the Franchisee. The second customer is buying the Franchise from the Franchisor. This involves determining the location, rental agreement, leasehold improvements, purchasing equipment, computers, software, hiring etc., before the doors are even opened. Despite the differences there are numerous issues in common that they need to consider. Buying a Franchise? Then read on to see these 4 key financial considerations.

Career Focus – Contacting Service Canada, One Way or Another

Career Focus provides funding for employers and organizations to design and deliver a range of activities that enable youth to make more informed career decisions and develop new skills. It’s basically a grant for hiring youth between the ages of 15 and 30 (inclusive). Businesses and unemployed youth are struggling enough without the additional burden of convoluted application forms and no one to answer their questions. Hopefully this information will help.

CRA Taxes – Know Your Rights

These are what I consider the nice and more than reasonable requests. What bothers me and my customers is the ongoing request for information and documentation where it might concern schedules i.e., rental properties or employment expenses. I agree that if the expense is claimed there had better be documentation to support it, however, I take issue with the person at the CRA that is continually asking for more information from what the original demand outlined. The communication can drag on for months.

Tenant & Landlord Rent Receipts – What you Need to Know

Be proactive when meeting with a prospective landlord. Ask the question – Will you be supplying me with a rent receipt? And get that in writing. If you’re paying month to month, get a rent receipt each month. Some landlords insist on post-dated cheques. If that’s the case then ask for a rent receipt covering the post-dated cheques. It’s better to know where you stand with your landlord at the beginning than being refused receipts one or two years later when the CRA is requesting copies and you lived at a number of addresses since then.

Lying to Revenue Canada about Foreign Property or Investments?

The penalty for failing to file a T1135 return is $25 per day for up to 100 days (minimum $100 and maximum $2,500) for each year. When failing to file is done knowingly or under circumstances amounting to gross negligence, the penalty is $500 per month for up to 24 months (maximum $12,000), less any penalties levied. There are additional longer term penalties that you can look up if applicable.

3 Questions to Ask a Prospective or Current Bookkeeping Provider

This is the time of year when many small and medium size business owners decide they need to get a better handle on their bookkeeping. Perhaps you want to get your 2014 bookkeeping up to date and you don’t want to do it yourself, or you want to start 2015 with a professional taking care of your bookkeeping needs so you can focus on your business. As you move forward into the New Year, here are 3 questions to ask a prospective or current bookkeeping provider:

3 Problematic Responses to Probing Bookkeeping Questions

All bank, charge card, loans and lines of credit accounts registered in the corporate name need to be reconciled. And, all assets need to be set-up as such in the Balance Sheet. Copies of the assets should be supplied for back-up when your corporate tax return is prepared. You also need details of the loans to and from the Shareholder(s). One of the problems when starting a business is accessing all the information that is required to ensure that it is successful and adheres to all the laws and rules.

Tax Audit from Hell? – Part 2

The auditor was not satisfied until he received a copy of the individual cheques deposited, front and back, along with the reason for my clients receiving the monies. If there weren’t cheques deposited, he wanted the details of the cash deposited, from the bank. We’re talking how many $10s, $20s, $50s etc. that were deposited. He was relentless.