Taxes - Accounting

Canada

Nature of the tax: Three types of Sales taxes: GST (federal Goods and Services Tax), HST (the Harmonized Sales Tax) and PST (Provincial Sales Tax).
Tax rate: 5% tax on goods and services + a variable provincial tax (PST or QST) of 0 to 10%.
In Newfoundland-Labrador, in Nova Scotia and New Brunswick, the provincial sales tax and the GST are replaced by a harmonized sales tax (HST) of 13%.
Reduced tax rate: There are exemptions for basic foodstuffs, pharmaceutical products and education. Insurance companies apply a rate of 9% to all premiums.
Other consumption taxes: The law on excise tax imposes taxes on leaded or unleaded gasoline, diesel fuel and motor vehicles.
Some provinces add other taxes. For further information, consult the Department of Finance website.

Federal Corporate Tax Rate	15%
Provincial tax component	Depending on the province. The average rate is 11.3%. The combined general corporate income tax rate ranges from 25% to 31%

Tax rate for foreign companies: All firms which run a company in Canada or own Canadian goods are liable for tax. Resident or non-resident companies are taxed on their net turnover, after expenses and deductions, if they show a profit.
Capital gains taxation: Long term capital gains are included in taxable income and are thus subject to the same taxation as company profits.
Main allowable deductions and tax credit: Companies may amortize their capital property up to a certain percentage every year. Also general company expenses and training costs.
For further details, consult the Canadian Legal Information Institute website.
Other corporate taxes: Business taxes are levied by town councils. Some Canadian town councils do not levy business taxes or may offer certain exemptions. There is no fixed rate, it varies according to the council.

Federal Tax Rate	progressive from 15 up to 29% (24.2% for Québec residents).
Provincial Tax	from 10 to 24% according to revenue and province For further information, consult the Canada Revenue Agency website.

Allowable deductions and tax credit: Basic federal personal deductions 9,600 CAD.
Other reductions or allowances: moving expenses, alimony, investments, medical expenses, educational expenses, etc.
Special expatriate tax regime: They have a right to some exemptions in force since 2008 such as eliminations of withholding tax on arm's length interest paid or credited to non-residents.
For further information, consult the Canada Revenue Agency website.

Countries with whom a double taxation treaty have been signed: See the list of Fiscal treaties between Canada and other countries
Withholding taxes: Dividends: 25%, Interest: 25%, Royalties: 25%
Bilateral agreement: Canada and Tunisia are bound by a double taxation treaty: yes

Signed	Ratified	Enforced
10/02/1982	Law 83-6 of 06/02/83	04/12/1984

Pour aller plus loin dans vos recherches nous vous proposons de connaître les taxes locales connaître les taxes locales qui s'appliquent à votre produit.

Tax Authorities: Canada Revenue Agency
Other domestic resources: Finances Québec (en anglais)
Ontario Ministry of Finance
Finance Alberta
Government of British Columbia
Saskatchewan - All ministries
Finance Manitoba
Government of New Brunswick - Ministry of Finance
Government of Prince Edward Island
Government of Nova Scotia
Government of Newfoundland and Labrador
Government of Yukon
Government of Nunavut
Government of the North West Territories

Tax year: The calendar tax year begins on 1 January and finishes on 31 December of the same year.
A company may also choose to establish a tax year of 12 consecutive months on diffrent basis. For example: from 1 June to 31 May.
Accounting standards: Annual accounts in Canada are drawn up based to a great extent on the Generally Accepted Accounting Principles (GAAP).
The Accounting Standards Board of the Canadian Institute of Chartered Accountants (CICA) establishes accounting and financial information standards.
Accounting regulation bodies: Canadian Accounting Standards Board
Accounting reports: Financial accounts in Canada usually include a balance sheet, a profit and loss account, a statement of retained earnings and a cash flow statement.

BALANCE SHEET: 12 pre-determined consecutive months;
1) Assets
2) Liabilities
3) Shareholder balance
Publication requirements: The recommendations in the CICA handbook apply to all Canadian companies. Specific regulations apply to banks, insurance companies and public organizations.
Reporting of financial statements and balance sheets is yearly. Companies listed on the Stock Exchange must provide quarterly financial reports.
Professional accountancy bodies: CICA
CMA
CPAB
Certification and auditing: Companies have to seek a statutory auditor to conduct an annual audit of the financial health of their organization.
You can contact an external auditor: DELOITE & TOUCHE, KPMG.
Accounting news: EIN News on Canada