Canada small business tax rate. In Canada, the small business tax rate is the tax rate paid by a small business. As of 2016, the small business tax rate is 10.5%.

Feb 7, 2017 Federal rates. The basic rate of Part I tax is 38% of your taxable income, 28% after federal tax abatement. After the general tax reduction, the net tax rate is 15%. For Canadian-controlled private corporations claiming the small business deduction, the net tax rate is 10.5%.

For other corporations, income that is not subject to the small business deduction
is subject to a federal corporate income tax rate of 15%. Example: A CCPC earns
income from an active business carried on in Canada and has taxable income of
$650,000 for its fiscal period ended …

The Small Business Deduction is one of the most beneficial of all income tax
deductions available to Canadian corporations because it reduces the amount of
Part 1 tax that a corporation would have to pay otherwise. For instance, according
to the tax rates in effect as of January 1st, a corporation that qualified for the
Small …

Jan 5, 2017 Definition: The Business Limit relates to income tax deductions available to
Canadian corporations when filing Canadian corporate tax with the Canada
Revenue Agency (CRA). The Business Limit is a set dollar amount that caps the
amount of Small Business Deduction (SBD) a Canadian corporation may …

Dec 30, 2017 Many Canadian small businesses don't realize that you don't have to have a big
business or even an incorporated business to carry on, and claim tax credits for …
By employing your spouse or child in your business, you may be able to drop
your net income into a lower tax bracket, netting a nice income tax …