If you’ve been operating a small business in Canada, you might know the challenges it comes with. Handling all the busy transactions, keeping track record of due payments, and many more business operations might make it overwhelming for you to handle. And ultimately, you’ll require a professional small business tax accountant near me to file all your taxes and get you the maximum tax credits.
This guide will help you choose the right small business tax accountant who not only ensures compliance but also maximizes your deductions and helps you plan for the future.
WHY DOES YOUR SMALL BUSINESS REQUIRE A PROFESSIONAL ACCOUNTANT?
- Tax compliance:
Professional tax accountants have a holistic understanding of local and federal tax laws. They offer you the best tax filing practices and strategies that not only comply with the rules and laws but also ensure maximum tax deductions and credits. An experienced small business tax accountant ensures your business complies with federal and Ontario-specific tax regulations, saving you from potential penalties.
- Maximizing deductions & Credits:
Small business tax accountants help you file business taxes in a way to maximizes the tax credits and deductions. They help you identify and claim specific business tax credits that most business owners are unaware of, such as:
- Home office expenses
- Vehicle and travel costs
- Capital cost allowances
- GST/HST filings
Therefore, investing in a professional accountant might pay off well for you.
- Strategic financial planning:
Small business tax accountants don’t just file your returns, they also offer insights into better financial management. They can help you plan for tax season, structure your business for tax efficiency, and advise on cash flow management effectively.
WHAT TO LOOK FOR WHEN CHOOSING A SMALL BUSINESS TAX ACCOUNTANT?
Hiring a small business tax accountant can be your life-long investment that pays off well in the long run. Therefore, it is important to make this decision wisely with a thorough analysis of little details. Follow these tips for making a better choice:
- Look for qualifications and credentials:
First and foremost, the most experienced and trustworthy accountants have reputable and credible qualifications. Major qualifications for credible accountants are:
- CPA (Chartered Professional Accountant)
- CGA (Certified General Accountant – now unified with CPA)
- CMA (Certified Management Accountant – now unified with CPA)
- CA (Chartered Accountant – now unified with CPA)
- ACCA (Association of Certified Chartered Accountants)
- CFP (Certified Financial Planner)
- CFE (Certified Fraud Examiner)
- Experience with small businesses:
You are obviously hiring a tax accountant for your small business, so it is important that the one you hire has experience working with small businesses. Small businesses have unique tax needs compared to larger corporations. Find an accountant who specializes in small business tax, understands the nuances of deductions, and has experience working with businesses in your industry.
- Local expertise in Ontario tax laws:
When you are looking for a small business tax accountant near me, always make sure that they have expertise in the local tax laws of Ontario.
For instance, Ontario offers various small business tax incentives, such as the Ontario Small Business Deduction, which your accountant should know how to utilize. Moreover, it also assists you in preventing any actions that might result in heavy penalties for your business.
- Analyze your budget:
When choosing a small business tax accountant near me, it is important to make a choice keeping your budget in mind without compromising the quality of service. Determine whether you need part-time assistance for tasks like tax filing and bookkeeping or full-time support for comprehensive financial management.
- Hourly rates:
- Part-time accountant: CAD 25-70/hr
- Full-time accountant: CAD 70-250/hr
- Monthly rates:
- Part-time accountant: CAD 400-1500/month
- Full-time accountant: CAD 3000-8000/month
- Reviews and testimonials:
Finally, check out their reviews and testimonials to get an understanding of their service and the experience people had with them. You may even contact their previous clients to get a detailed summary of their service style, expertise, and strategic approach.
Look for testimonials from other small business owners and ask for references when possible.
CONCLUSION:
Choosing the right small business tax accountant near you requires careful consideration. It is recommended to look for someone with the right qualifications, relevant experience, and a solid understanding of Ontario tax laws. Prioritize personalized service and a track record of helping small businesses.
Whether you’re starting out or looking to scale your operations, the right accountant can be a trusted advisor and an essential part of your team. If you are ready to make tax season stress-free, reach out to us. At Numeracy Accounting Solutions, we are a qualified small business tax accountant to help you take the first step toward financial confidence and growth.