[Part 3] Start Up Businesses: Prepare The Smart Way And Avoid Tax Problems

[wt_note title=”Part 3 of 3″ align=”center”] This post is the third and final part of a series of posts for small business owners who want to take charge of their taxes. It was supposed to be just one post, but it turns out we had a lot more to say! Instead of trying to squeeze it in, we’re spreading it out into some smaller actionable pieces. Missed the other ones? Here you go: Part 1  and Part 2[/wt_note]

Part 3 is otherwise known as the tech part. Here are some things you should do online to help avoid tax problems.

4) Sign up for CRA’s tax updates

If your most frequent tax advice starts with “buddy told me, that he heard…” you should

Avoid tax problems by getting your information from the source.
Avoid tax problems by getting your information from the source.

Get your information from the source.

The CRA has a ton of ways to keep up with their updates. Unfortunately, their website leaves a lot to be desired. Use these resources to get updates to come to you:

  1. Email newsletters
  2. Follow them on Twitter
  3. Subscribe to their Youtube Channel
  4. Get the Business Tax Reminders Mobile App on iOS, Android, or Blackberry

5) Let Us Help

We (PFP Inc) post updates on tax issues regularly. Even better, we cut the jargon and focus on how tax changes affect your business, and what actionable steps you should take.

[Tweet “PFP cuts the jargon, focuses on how tax changes affect your business, and your next steps.”]

If you don’t already, follow us twitter, like us on facebook and sign up below to receive blog posts direct to your inbox.

Wrap Up

So, that’s the whole series. We hope you were inspired to avoid tax problems by being proactive. Here’s the final recap (ignore these at your peril):

  1. Get an accountant
  2. Separate your personal records from your business records
  3. Keep really, really good records
  4. Get your information from the source – sign up for updates direct from CRA
  5. Let PFP help

We didn’t stick a sales pitch anywhere in there, so here it is.

You can do Every Single Thing we just listed and the CRA can still come after you. Remember, they don’t need a reason to look at your books and the burden of proof lies with you if you are the subject of a review or an audit.

Tax Investigation Insurance pays for an accountant to handle a review or audit, so you can focus on growing your business (video).