Businesses owners—large and small—have at least one
goal in common: to minimize taxes. To do so effectively, however,
you need to implement a sound tax strategy—which can be a
challenging task, particularly for busy private business
owners.
Fortunately, it's only December—so, you still have
some time to take stock of your particular situation and identify
potential tax savings for your business. To help you in this
endeavour, we're providing you with an early holiday gift: 5
key tax tips to brighten your new year.
- Determine the best compensation strategy.
Getting the right mix of salary/bonus/dividend compensation is one
of the more important tax decisions private business owners can
Bonuses can potentially be deferred until after year-end, which can
help if you expect next year's taxable income to be lower. And
paying bonuses to your spouse and/or children, if they work for
you, can be a good idea if their marginal tax rate is lower than
yours.
