Sandra DaCosta

The June 15th self employed tax deadline in Canada is coming up and this can be a challenge for small businesses, especially those that are newly operational or whose books are not in order.

There is always misunderstanding around the June 15th filing deadline for self-employed businesses. A few of us CPAs including myself recently had the opportunity to discuss the challenges with the Globe & Mail. See today’s article in the Globe & Mail “How the self-employed can stay on track for June 15 tax-filing”.

Had a heated discussion about investing the other day. Saw this online and had to share it - it’s not mine and I’m not sure who made it - but it’s so true.

Hence the heated discussion with a family member. He likes his dividends. He mainly targets companies that pay consistent high dividends and he reinvests them. And me, well I prefer investing for growth…I like unrealized gains. Don’t get me wrong, I’ll take dividends too but there’s truth in this picture. Maybe I’m biased because I get to see the tax side of it and it hurts when there’s another hand, called CRA, constantly taking a piece of the pie!

So how did the heated discussion end? My opponent abruptly ended it by saying “do you know who pays taxes from investments….Those who make money. Do you know who doesn’t pay tax….Those who don’t make money or loose money….”💰

I once had a client who had a substantially large tax payable despite tax planning. Naturally I dislike delivering bad news. But when I told him he wasn’t upset and he was expecting it. Instead he said to me that he is blessed to make that much money to be privileged enough to pay such a tax bill and give back to society. He really was wealthy. So there’s that.

What side are you on!? Pro dividends, pro gains or a bit of both? Heck, any passive income is good income right!? 🤔

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