International taxation is the way to determine where and how a person or a business will be taxed. The subject can either be taxed only on one of the countries or by both depending on the laws of those different countries. This is usually determined on the treaties between the countries involved.
Companies want to avoid paying taxes on both countries instead of only one which could save them money. This could result in paying for more than the necessary. International corporate tax planning Canada is an example that could be used in determining the country where the tax must go. Fully understanding these would give you an advantage.
Canada uses a mixture of management and control, and incorporation standard. What this means is that the company must be incorporated in the country it is located to be considered tax resident. When they are not incorporated there but in another country although management and control is still exercised there, then the company is still considered a tax resident.
So, if you want your company to be legally nontaxable in Canada then it must be incorporated on another county. They must also be managed and controlled outside the country as well. This includes the making of the highest level of decisions and the bank accounts should not be made inside the country.
In order to understand these concepts better and help you with the legalities, acquiring of the service of a lawyer and his firm that specializes on these is a must. They could give you guidance in the preparation of the required documents used in determining if your establishment is taxable or not. Here are some tips in searching for one.
Ask recommendations from your business partners and colleagues. You may also ask the lawyers you have currently if they offer services for theses or knows some people who do. Recommendations from trusted people would save you resources and time to be used for background check of the lawyer.
Ask about the experiences they had regarding similar issues to yours. They could give you examples of companies they are working with currently. Having a good amount of clients is a good sign specially if some of them are the prominent companies. If you happen to know a client of theirs personally then you could try approaching him and asking him on his opinion on the service that the law firm has given to him.
Ask for their legal fees and what are the other things they could help you with. It is better to have just one team working on your corporate needs to prevent miscommunication between themselves that might result in facing problems with the government. They would be also working with your accounting and finance department to be able to properly determine what is taxable or not.
These are few descriptions with advises on things which could help in minimizing your taxes the legal way and maximizing your profits. Countries have various treaties with Canada so you should get someone who will be able to help you that is an expert regarding these treaties as well as the laws of other countries. Never be afraid in asking assistance from the lawyers you have if there are things which are unclear for you.
Companies want to avoid paying taxes on both countries instead of only one which could save them money. This could result in paying for more than the necessary. International corporate tax planning Canada is an example that could be used in determining the country where the tax must go. Fully understanding these would give you an advantage.
Canada uses a mixture of management and control, and incorporation standard. What this means is that the company must be incorporated in the country it is located to be considered tax resident. When they are not incorporated there but in another country although management and control is still exercised there, then the company is still considered a tax resident.
So, if you want your company to be legally nontaxable in Canada then it must be incorporated on another county. They must also be managed and controlled outside the country as well. This includes the making of the highest level of decisions and the bank accounts should not be made inside the country.
In order to understand these concepts better and help you with the legalities, acquiring of the service of a lawyer and his firm that specializes on these is a must. They could give you guidance in the preparation of the required documents used in determining if your establishment is taxable or not. Here are some tips in searching for one.
Ask recommendations from your business partners and colleagues. You may also ask the lawyers you have currently if they offer services for theses or knows some people who do. Recommendations from trusted people would save you resources and time to be used for background check of the lawyer.
Ask about the experiences they had regarding similar issues to yours. They could give you examples of companies they are working with currently. Having a good amount of clients is a good sign specially if some of them are the prominent companies. If you happen to know a client of theirs personally then you could try approaching him and asking him on his opinion on the service that the law firm has given to him.
Ask for their legal fees and what are the other things they could help you with. It is better to have just one team working on your corporate needs to prevent miscommunication between themselves that might result in facing problems with the government. They would be also working with your accounting and finance department to be able to properly determine what is taxable or not.
These are few descriptions with advises on things which could help in minimizing your taxes the legal way and maximizing your profits. Countries have various treaties with Canada so you should get someone who will be able to help you that is an expert regarding these treaties as well as the laws of other countries. Never be afraid in asking assistance from the lawyers you have if there are things which are unclear for you.
About the Author:
When there is a need for assistance with international corporate tax planning Canada citizens can always count on our website. Come and get complete details and information by visiting us right away at http://www.taxca.com.
No comments:
Post a Comment