Entrepreneurship & Small Business

what is tax rate for the income made by small business?

  • Last Updated:
  • Jun 4th, 2020 9:14 pm
[OP]
Newbie
Apr 23, 2020
21 posts

what is tax rate for the income made by small business?

Hello, what is the tax rate for Federal corporation and Ontario corporation?
I mean how much tax one would pay if he incorporated federally or provincially
Thanks
3 replies
Member
May 29, 2012
489 posts
158 upvotes
Southern Ontario
I don't think it would matter if the corporation is located in Ontario either way.
Unless you are talking about federal lands ie. indian reserves, territories
Newbie
Sep 16, 2015
98 posts
147 upvotes
Calgary, AB
Addy90 wrote: Hello, what is the tax rate for Federal corporation and Ontario corporation?
I mean how much tax one would pay if he incorporated federally or provincially
Thanks
For small businesses in Ontario, the Federal tax rate is 9% and the Provincial rate is 3.2%. A total of 12.2% on the first $500K of income.

It doesn't make a difference whether it's federally or provincially incorporated.
[OP]
Newbie
Apr 23, 2020
21 posts
jaybeeg wrote: For small businesses in Ontario, the Federal tax rate is 9% and the Provincial rate is 3.2%. A total of 12.2% on the first $500K of income.

It doesn't make a difference whether it's federally or provincially incorporated.
Thank you for your reply.

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