Small Business Tax Returns
Organized tax preparation for sole proprietors, self-employed individuals, and small business owners.
Get Help Reporting Your Small Business Income and Expenses
Running a small business means keeping complete records of your income and expenses on top of managing the products or services you provide. Keeping invoices, receipts, and other supporting documents throughout the year helps ensure the information you need is available when it is time to prepare your tax return.
Kara Van Slyke Accounting provides small business tax return preparation for sole proprietors, freelancers, independent contractors, and other self-employed individuals. Kara reviews the records you provide, identifies any missing information, and prepares the business portion of your return based on the details of your file.
For a sole proprietor, business or professional income and expenses are generally reported on Form T2125 as part of the owner’s personal income tax return. Small business tax return services start at $250, with final pricing based on the complexity of the return and the amount of work required.
Small Business Tax Filing for a Range of Businesses
Small business tax return preparation is available for self-employed individuals across many industries and business models.
Sole Proprietors
Tax return support for individuals who own and operate an unincorporated business.
Freelancers and Independent Contractors
Preparation for people earning self-employment income from contract, freelance, or project-based work.
Consultants and Professionals
Support reporting income and expenses from consulting, professional, and other service-based activities.
Tradespeople and Service Providers
Tax preparation for tradespeople, technicians, contractors, and local service businesses.
Online and Home-Based Businesses
Support for online sellers, creators, and business owners who operate from home or through digital platforms.
New and Growing Businesses
Practical filing support for newer businesses establishing better records and tax processes.
What Is Included in Small Business Tax Return Preparation?
The work required will depend on your business activities, records, and the types of income and expenses involved. Kara reviews the information provided and prepares the small business portion of your return based on your file.
The CRA explains that sole proprietors generally report business or professional income and expenses using Form T2125, Statement of Business or Professional Activities.
- Review of the business income and expense records you provide
- Preparation of Form T2125 when applicable
- Reporting of applicable business or professional income and expenses
- Review of relevant expense categories based on the records provided
- Identification of missing information required to complete the return
- Preparation of the related personal income tax return
- Electronic submission of the completed return, when applicable
- Guidance on retaining supporting business records
Documents to Gather for Your Small Business Tax Return
The documents needed will depend on how your business operates and the income, expenses, assets, and accounts involved. Kara will confirm what is required after reviewing the general details of your file.
Income and Sales Records
These may include:
- Sales invoices and receipts
- Payment processor reports
- Bank deposit records
- Commission or contract income records
- Business income tax slips
- Records of grants, subsidies, or other business income
Expense and Purchase Records
Depending on your business, these may include:
- Receipts and supplier invoices
- Business bank and credit card statements
- Advertising and professional fees
- Insurance, supplies, and office expenses
- Vehicle and travel records
- Business-use-of-home information
- Equipment and asset purchase records
Business and Personal Information
You may also need:
- Business name, address, and activity details
- Business number and GST/HST information, if applicable
- Prior-year returns and notices of assessment
- Partnership or ownership information
- Details of assets purchased or sold
- Personal tax slips and supporting documents
Complete records help support the income and expenses reported on your return. The CRA provides additional guidance about business records for sole proprietors and partnerships.
When Is a Self-Employed Tax Return Due?
Self-employed individuals and their spouses or common-law partners generally have until June 15 to file their personal income tax returns. However, any balance owing is generally due by April 30.
Different dates or special rules may apply in some situations. Review the CRA’s current personal income tax filing and payment deadlines for the tax year being filed.
Important Deadlines to Remember
Self-Employed Filing Deadline
Generally June 15
Balance-Owing Deadline
Generally April 30
Tax Instalments
May apply during the year
Need Help with Your Small Business Tax Return?
Book a meeting with Kara to discuss your business, the records you have available, and the next steps for preparing your return.
How the Small Business Tax Filing Process Works
Kara keeps the process organized from the initial conversation through the completion of your return.
1
Book a Meeting
Contact Kara or book a meeting to discuss your business, filing needs, and the condition of your records.
2
Gather Your Records
Kara will let you know which income, expense, business, and personal tax documents are needed.
3
Upload Your Information
Submit the requested records securely. Existing clients can use the client portal.
4
Kara Prepares Your Return
Kara reviews your records, follows up about missing details, and prepares your small business tax return.
Questions About Small Business Tax Returns
Here are answers to common questions about small business tax filing, business records, pricing, and deadlines.
How much does a small business tax return cost?
Small business tax return preparation starts at $250. Final pricing depends on the complexity of the return, the number and condition of the records provided, and whether additional bookkeeping or organization is required.
Who is the small business tax return service for?
This service is intended for sole proprietors, freelancers, independent contractors, consultants, and other self-employed individuals who report business or professional income and expenses on their personal tax returns.
Is a sole proprietor’s business return separate from the personal tax return?
A sole proprietor generally reports business or professional income and expenses as part of their personal income tax return, commonly using Form T2125. Incorporated businesses have separate corporate filing requirements and should review the corporate tax return service.
What records do I need to provide?
Common records include sales invoices, income summaries, expense receipts, bank and credit card statements, vehicle records, home-office information, asset purchases, prior-year tax documents, and personal tax slips. The exact list will depend on your business.
Can Kara help if my business records are disorganized?
Additional bookkeeping or record organization may be available when the information needs to be cleaned up before the tax return can be prepared. The amount of work and additional pricing can be discussed before proceeding. Ongoing support is also available through monthly bookkeeping services.
When is a self-employed tax return due?
Self-employed individuals and their spouses or common-law partners generally have until June 15 to file, while any balance owing is generally due by April 30. Confirm the current dates for the tax year being filed because special circumstances may apply.
How long should I keep my business tax records?
The CRA generally requires business records and supporting documents to be kept for six years from the end of the last tax year they relate to. Some records may need to be kept longer in particular circumstances.
Ready to Get Started?
Book a meeting with Kara to discuss your small business tax filing needs, the records you have available, and the next steps.