Taxation Business Guide

What is a Business Guide?

The Canada/Manitoba Business Service Centre created Business Guides to help you navigate through the wide range of programs and services in a specific area as well as related regulations that may affect your business venture. Business Guides featuring other topics of interest are also available by contacting the Canada/Manitoba Business Service Centre at 204-984-2272 (in Winnipeg) or 1-800-665-2019 (toll free in Canada) or by e-mail at manitoba@canadabusiness.mb.ca.

Note: In addition to providing an immediate clickable link when viewing these documents online, we have suggested search words/terms to assist you in future for additional program and/or service information searches on our or other sites.

TABLE OF CONTENTS

• Financial Assistance
• Information Services
• Tax Services
• Tax Information for Businesses
• Tax Information for Employers
• Tax Information for Non-Profit Organizations

Financial Assistance

Canadian Film or Video Production Tax Credit (CPTC)
Canadian Audio-Visual Certification Office (CAVCO)
Canadian Heritage
Phone: 1-888-433-2200
E-mail: bcpac-cavco@pch.gc.ca
Internet: http://www.pch.gc.ca/eng/1268752355851
Search words: Canadian Film or Video Production Tax Credit

The CPTC is available at a rate of 25 percent of the qualified labour expenditure. Eligible salaries and wages qualifying for the tax credit may not exceed 60 percent of the cost of the production, net of assistance. Therefore, the tax credit could provide a maximum refund of up to 15 percent of the cost of production, net of assistance.

Film or Video Production Services Tax Credit (PSTC)
Canadian Audio-Visual Certification Office (CAVCO)
Canadian Heritage
Phone: 1-888-433-2200
E-mail: bcpac-cavco@pch.gc.ca
Internet: www.pch.gc.ca/cavco/pgm/cisp-pstc/cisp-pstc-eng.cfm
Search words: Film or Video Production Services Tax Credit

The PSTC is a tax credit equal to 16 percent of salary and wages paid to Canadian residents or taxable Canadian corporations (for amounts paid to employees who are Canadian residents) for services provided to the production in Canada. This refundable tax credit has no cap on the amount which can be claimed and is available to taxable Canadian corporations or foreign-owned corporations with permanent establishments in Canada.

Manitoba Film and Video Production Tax Credit
Manitoba Entrepreneurship, Training & Trade and Manitoba Film & Music
Phone: 204-947-2040
E-mail: info@mbfilmmusic.ca
Internet: http://www.gov.mb.ca/ctt/invest/busfacts/govt/fv_taxcredit.html
Search words: Manitoba film and video production tax credit

The Manitoba Film and Video Production Tax Credit is a refundable corporate income tax credit available to qualifying producers of eligible Manitoba productions and co-productions. Starting with productions which commence principal photography after March 2010, production companies will be able to elect to claim either the maximum 65% film tax credit based on eligible labour costs or a new 30% tax credit based on production costs incurred and paid for labour, goods and services provided in Manitoba that are directly attributable to the production of an eligible film.

Scientific Research and Experimental Development (SR&ED) Tax Incentive Program
Canada Revenue Agency - CRA
Phone: 403-691-5890
Internet: http://www.cra-arc.gc.ca/sred/
Search words: SR&ED, CRA

This program offers income tax incentives to Canadians who conduct scientific research and experimental development (SR&ED) in Canada. Investment tax credits are available for expenditures such as wages, materials, machinery, equipment, some overhead, and SR&ED contracts. Canadian corporations, proprietorships, partnerships and trusts can receive an investment tax credit of between 20% to 35% for qualifying SR&ED expenditures.

Information Services

Business Performance and Ownership
Statistics Canada - SC
Phone: Toll free 1-800-263-1136
Fax: 1-877-287-4369
TTY: 1-800-363-7629
E-mail: infostats@statcan.gc.ca
Internet: http://www5.statcan.gc.ca/subject-sujet/theme-theme.action?pid=2239&lang=eng&more=0
Search words: Business performance and ownership

Statistical and analytical information is available on a diverse range of topics related to business performance and business demographics. This includes information sources that describe the nationality of corporate ownership in Canada, and analytical studies that explore different aspects of the business and corporate landscape.

Employee or Self-Employed?
Canada Revenue Agency - CRA
Phone: Toll free 1-800-959-5525 (English) or 1-800-959-7775 (French)
Forms & Publications: 1-800-959-2221
Internet: http://www.cra-arc.gc.ca/E/pub/tg/rc4110/
Search words: Employee or Self-Employed

This guide will help to determine if a worker is an employee or a self-employed individual, and thus if there is an employer-employee relationship or a business relationship.

Individual Outreach Visits for Business
Canada Revenue Agency - CRA
Phone: Toll free 1-800-959-5525 (English) or 1-800-959-7775 (French)
Internet: http://www.cra-arc.gc.ca/tx/bsnss/sm/rsrcs-eng.html
Search words: other resources, CRA

Individual Outreach Visits for businesses are pre-arranged and provide the individual business owner or sole proprietor an opportunity to get answers to their specific questions, receive relevant information, increase their awareness of Canada Revenue Agency (CRA) services, and discuss any tax-related issues or concerns.

Small Business Information Seminars
Canada Revenue Agency - CRA
Phone: 204-983-3994 or toll free 1-877-983-3994
Internet: www.cra-arc.gc.ca/vnts/sbs2-eng.html
Search words: Small Business Information Seminars

Our popular tax seminars give you important information about starting a small business, registering for a GST/HST account, payroll requirements, T4 slip preparation, and more.

Tax Rebate Discounting Act
Canada Revenue Agency - CRA
Phone: 1-800-959-5525 (English) or 1-800-959-7775 (French)
Internet: www.cra-arc.gc.ca/esrvc-srvce/tx/bsnss/dscntrs/menu-eng.html#TRDA
Search words: Information for Discounters, CRA

The Tax Rebate Discounting Act regulates tax discounting businesses. The Act is designed to protect consumers who choose to use a discounting service to get cash now rather than wait for a future income tax refund.

Tax Services

Business Number (BN) registration
Canada Revenue Agency - CRA
Phone: Toll free 1-800-959-5525 (English) or 1-800-959-7775 (French)
Internet: www.cra-arc.gc.ca/tx/bsnss/tpcs/bn-ne/menu-eng.html
Search words: Business Number, CRA

The Business Number (BN) is a numbering system that simplifies and streamlines the way businesses deal with the federal government. It is based on the idea of one business, one number. Each business requires one BN for its legal entity. A legal entity is defined as a sole proprietor, partnership, corporation, trust or other organization.

Note: A sole proprietor that operates more than one business needs only one BN. (If it is the same ownership type).

Business Registration Online (BRO)
Canada Revenue Agency (CRA)
Phone: Toll free 1-800-959-5525 (English) or 1-800-959-7775 (French)
Internet: http://www.cra-arc.gc.ca/tx/bsnss/tpcs/bn-ne/bro-ide/menu-eng.html
Search words: Business Registration Online

Business Registration Online is a one stop, online, self-serve application that allows you to register for a Business Number, as well as for four program accounts: Corporation income tax, GST/HST, Payroll and Import/Export and GST/HST.

E-services for businesses
Canada Revenue Agency
Phone: Toll free 1-800-959-5525 (English) or 1-800-959-7775 (French)
Internet: http://www.cra-arc.gc.ca/esrvc-srvce/tx/bsnss/menu-eng.html
Search words: E-services for businesses, CRA

Businesses can access account information, file a return or make a remittance, register a business, make payroll deductions, get information, access refunds, make payments and more through Canada Revenue Agency's (CRA) electronic services.

My Business Account
Canada Revenue Agency
Phone: Toll free 1-800-959-5525 (English) or 1-800-959-7775 (French)
Internet: http://www.cra-arc.gc.ca/esrvc-srvce/tx/bsnss/myccnt/menu-eng.html
Search words: My Business Account, CRA

My Business Account is a way for business owners (including directors and officers of corporations) to access GST/HST, payroll, corporation income taxes, excise taxes, excise duties and other levies account information online.

Objections and Appeals
Canada Revenue Agency - CRA
Phone: Toll free 1-800-959-8281 (English) or 1-800-959-7383 (French)
Internet: www.cra-arc.gc.ca/tx/bsnss/tpcs/lf-vnts/ppls/menu-eng.html
Search words: Objections and Appeals, CRA

This service allows taxpayers to formally dispute an assessment for income tax, excise tax or GST/HST.  Certain restrictions apply, including time limits.

Online Requests for Business
Canada Revenue Agency - CRA
Phone: Toll free 1-800-959-5525 (English) or 1-800-959-7775 (French)
Internet: http://www.cra-arc.gc.ca/esrvc-srvce/tx/bsnss/rqsts/menu-eng.html
Search words: Online Requests for Business, CRA

As of April 16, 2012, the Online Requests for Business service will be available only through My Business Account.

This service lets business clients inform the Canada Revenue Agency via the Internet of an action or review they want them to do, request items they require or inform them of communication items they no longer wish to receive.

TAXcess
Manitoba Finance - Taxation Division
415 - 401 York Avenue, Winnipeg, MB R3C 0P8
Phone: 204-945-5603 or Toll free 1-800-782-0318
Fax: 204-945-0896
E-mail: TAXcess@gov.mb.ca
Internet: https://taxcess.gov.mb.ca/
Search words: TAXcess

TAXcess is an online service you can use to pay retail sales, monthly health and education levy, corporation capital, fuel and/or the International Fuel Tax Agreement (IFTA) tax accounts online through a Pre-Authorized Payment (PAD) Agreement. You can also make a retail sales, health and education levy and/or IFTA tax account payment through your financial institution’s online bill payment process. It’s simple, secure and available 24 hours a day, seven days a week.

TeleReply
Canada Revenue Agency - CRA
Phone: Toll free 1-800-959-2256
Internet: http://www.cra-arc.gc.ca/tx/bsnss/tpcs/pyrll/pymnts/nrmt/tlrply/menu-eng.html
Search words: Telereply, CRA, Manitoba

Employers can inform CRA by phone if they have no payroll deductions remittance to make during a remittance period. This service is fast, free and easy to use. It is available every day except Sundays and statutory holidays. You receive immediate confirmation that your information has been received.

Tax Information for Businesses

Business Assessment and Taxation Department
City of Winnipeg
Main Floor, City Hall, 510 Main Street, Winnipeg, MB  R3B 1B5
Phone: 311 or Toll Free 1-877-311-4974
E-mail: 311@winnipeg.ca
Internet: http://www.winnipegassessment.com
Search words: Business Assessment and Taxation, City of Winnipeg

Business owners are required to pay a percentage of the assessed rental value of their premises as determined by the City Assessor. Home based businesses are exempt from business assessment; however, they must pay a Home Occupancy Permit (contact the City of Winnipeg Zoning and Permits Branch at 311, for more information). For businesses located outside of Winnipeg, please contact your local municipal office for assessment and taxation requirements.

Corporation Capital Tax
Manitoba Finance - Taxation Division
101 - 401 York Avenue, Winnipeg, MB  R3C 0P8
Phone: 204-945-5603 or Toll free 1-800-782-0318
E-mail: MBTax@gov.mb.ca
Internet: http://www.gov.mb.ca/finance/taxation/taxes/corporation.html
Search words: Corporation Capital Tax, Manitoba

For fiscal years beginning after December 31, 2010, the corporation capital tax is eliminated for all corporations except banks, trust and loan corporations, and crown corporations.

Excise Duties
Canada Revenue Agency - CRA
Phone: Toll free 1-800-959-5525 (English) or 1-800-959-7775 (French)
Internet: www.cra-arc.gc.ca/exciseduty/
Search words: Excise Duties, CRA

Excise Duties are charged on spirits, wine, beer and tobacco products manufactured in Canada.

Excise Taxes
Canada Revenue Agency - CRA
Phone: Toll free 1-866-330-3304 (English) or 1-888-609-0073 (French)
Internet: http://www.cra-arc.gc.ca/tx/bsnss/sm/xcs/x_txs-eng.html
Search words: Excise Taxes, CRA

Excise Tax is applied to items such as fuel-inefficient vehicles, automotive air conditioners and certain petroleum products.

Goods and services tax/harmonized sales tax (GST/HST)
Canada Revenue Agency - CRA
Phone: Toll free 1-800-959-5525 (English) or 1-800-959-7775 (French)
Internet: http://www.cra-arc.gc.ca/tx/bsnss/tpcs/gst-tps/menu-eng.html
Search words: GST/HST, Business, CRA

Most persons and organizations engaged in commercial activities in Canada who have annual worldwide, taxable sales of more than $30,000, must register for and collect GST/HST. You have to register for GST/HST if you are a taxi or limousine operator whose fares are regulated by federal or provincial laws, even if your revenues do not exceed $30,000.

2011 T1 General Returns, Forms and Schedules
Canada Revenue Agency - CRA
Phone: Toll free 1-800-959-5525 (English) or 1-800-959-7775 (French)
Internet: http://www.cra-arc.gc.ca/menu/LBA-e.html
Search words: Income Tax Returns - T1, CRA

All individual residents living in Canada or individuals who earn an income in Canada must file a tax return. When used in conjunction with supplementary guides such as Business and Professional Income, Farming Income, Fishing Income the General Income Tax and Benefit package allows non-incorporated business people to report their income.

Income Tax Returns: T2 Corporation Income Tax Return and the T2 Short Return
Canada Revenue Agency - CRA
Phone: Toll free 1-800-959-5525 (English) or 1-800-959-7775 (French)
Internet: http://www.cra-arc.gc.ca/tx/bsnss/tpcs/crprtns/rtrn/menu-eng.html
Search words: Corporation Tax Return, CRA

Under the Income Tax Act, all corporations must file a T2 or T2 Short return even if no tax is payable.  This includes non-profit organizations, tax-exempt corporations, and inactive corporations.  The only exceptions to this rule are corporations which fell within the guidelines of a registered charity for the fiscal year.

Provincial Taxes - Taxation Division
Manitoba Finance - Taxation Division
101 - 401 York Avenue, Winnipeg, MB  R3C 0P8
Phone: 204-945-5603 or Toll free 1-800-782-0318
E-mail: MBTax@gov.mb.ca
Internet: http://www.gov.mb.ca/finance/taxation/administer.html
Search words: Manitoba Finance, taxes administered

Manitoba Finance - Taxation Division administers the taxation legislation through information, compliance, audit and enforcement programs. Taxes Administered are: Retail Sales Tax, The Health and Post Secondary Education Tax Levy, Corporation Capital Tax, Tobacco Tax, Fuel Tax, Mining Tax, Credit Unions and Caisses Populaires Profits Tax and the Emissions Tax on Coal.

Retail Sales Tax
Manitoba Finance - Taxation Division
101 - 401 York Avenue, Winnipeg, MB  R3C 0P8
Phone: 204-945-5603 or Toll free 1-800-782-0318
E-mail: MBTax@gov.mb.ca
Internet: http://www.gov.mb.ca/finance/taxation/taxes/retail.html
Search words: Retail Sales Tax, Manitoba Finance

Under the Retail Sales Tax Act in Manitoba, sales tax is collected on most goods and certain services sold for the purpose of consumption or use and not for resale. All taxable goods and services are taxed at 7% at the point of sale. The tax is calculated on the selling price before the GST (Goods and Services Tax) is applied.

Tax Information for Employers

Payroll Deductions
Canada Revenue Agency (CRA)
Phone: Toll free 1-800-959-5525 (English) or 1-800-959-7775 (French)
Internet: http://www.cra-arc.gc.ca/tx/bsnss/tpcs/pyrll/menu-eng.html?=slnk
Search words: Payroll, CRA

As an employer, trustee, or payer, you are responsible for deducting Canada Pension Plan (CPP) contributions, Employment Insurance (EI) premiums and income tax from remuneration or other types of income you pay, remitting them to us and reporting them on the applicable slips.

Payroll Deductions - Online Calculator
Canada Revenue Agency - CRA
Phone: Toll free 1-800-959-5525 (English) or 1-800-959-7775 (French)
Internet: http://www.cra-arc.gc.ca/esrvc-srvce/tx/bsnss/pdoc-eng.html
Search words: Payroll Deductions - Online Calculator, CRA

An electronic version of the payroll deduction tables which calculate the Income Tax, Canada Pension Plan and Employment Insurance contributions that Canada Revenue Agency requires an employer to withhold from an employee's income.  There is no charge for this product.

Social Insurance Number (SIN)
Service Canada
Phone: 1-800-206-7218 (Select option “3”)
Internet: http://www.servicecanada.gc.ca/en/sc/sin/index.shtml
Search words: Social Insurance Number

A unique nine digit number assigned to an individual for use in the administration of programs, namely, Employment Insurance and the Canada Pension Plan. Employers who want to remit income tax deductions and premiums based on an employee's income must ensure that the employee produces a SIN card within three days after being hired.

The Health and Post Secondary Education Tax Levy
Manitoba Finance - Taxation Division
101 - 401 York Avenue, Winnipeg, MB  R3C 0P8
Phone: 204-945-5603 or Toll free 1-800-782-0318
E-mail: MBTax@gov.mb.ca
Internet: http://www.gov.mb.ca/finance/taxation/taxes/payroll.html
Search words: Health and Post Secondary Education Tax Levy 

Tax Information for Non-Profit Organizations

Information on Charities
Charities Directorate
Canada Revenue Agency - CRA
Ottawa, ON K1A 0L5
Phone: Toll free 1-800-267-2384 (English) or 1-888-892-5667 (French)
Internet: http://www.cra-arc.gc.ca/chrts-gvng/chrts/menu-eng.html
Search words: Charities and Giving, CRA

This service applies to non-profit organizations which operate for charitable purposes and devote its resources to charitable activities. Registration offers these organizations the authority to issue official donation receipts to donors, exempts the organization from paying income tax, and allows the organization to apply for a 50% rebate of all taxes paid on goods and services used to operate the charity (except for taxes that can be recovered through the GST program).

Non-Profit Organization (NPO) Information Return
Canada Revenue Agency - CRA
Phone: Toll free 1-800-959-5525 (English) or 1-800-959-7775 (French)
Forms & Publications - 1-800-959-2221
Internet: http://www.cra-arc.gc.ca/E/pbg/tf/t1044/
Search words: Non-Profit Organization (NPO) Information Return, CRA

This Information Return is available to organizations claiming non-profit status under paragraph 149(1)(I) of the Income Tax Act as well as agricultural organizations, boards of trade or chambers of commerce as described in paragraph 149(1)(e) of the Act. More information is available in the publication "Income Tax Guide to Non-Profit Organization (NPO) Information Return".

Canada/Manitoba Business Service Centre
250 - 240 Graham Avenue
Winnipeg, Manitoba  R3C OJ7
Telephone: 204-984-2272
Fax: 204-983-3852
Toll-free (information): 1-800-665-2019
TTY Toll-free (hearing impaired): 1-800-457-8466
E-mail: manitoba@canadabusiness.mb.ca
Web site: http://www.canadabusiness.mb.ca/

DISCLAIMER
Information contained in this document is of a general nature only and is not intended to constitute advice for any specific fact situation. Users concerned about the reliability of the information should consult directly with the source, or seek legal counsel.

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