Tax Planning Shouldn't Start When Your Return Is Due.

At Capital Tax, we help individuals, business owners and incorporated professionals manage their tax obligations while identifying opportunities to reduce unnecessary tax and make informed financial decisions year-round.

500+ Clients Served

Year-Round Support

10+ Years in Practice

CPA & CMA Designated

T2 Returns, Tax Planning & CRA Support

We prepare your corporate tax return while helping you understand how your business structure, income, expenses and compensation affect your overall tax position.

T2 corporate tax returns
Year-end tax preparation
Corporate tax planning
Salary vs. dividend planning
Tax-efficient compensation strategies
Tax instalment planning
CRA correspondence and support

T1 Returns for Individuals, Business Owners & Investors

Whether you’re an employee, business owner, investor or incorporated professional, we prepare your T1 return while identifying applicable deductions, credits and planning opportunities.

T1 personal tax returns
Business and self-employment income
Employment income
Rental and property income
Tax credits and deductions
Prior-year returns
Non-resident & emigrant tax

Choosing Between Salary & Dividends

For incorporated business owners, choosing between salary and dividends can have significant tax and financial implications. The goal isn’t simply to choose one over the other, it’s to determine what works best for your situation.

Personal & Corporate Tax Rates

We analyze how income flows from your corporation to your personal return and the combined tax impact of different options.

CPP & RRSP Considerations

Salary creates CPP obligations and RRSP room. Dividends don't. We help you understand what matters most for your goals.

Short & Long-Term Goals

The right mix depends on your cash flow, growth plans, retirement timeline, and personal tax situation.

Effective Tax Planning Happens Throughout the Year

Tax savings come from planning, not from waiting until April. We work with you year-round to identify opportunities and prepare for upcoming obligations.

Income planning — understand how income changes affect your taxes
Compensation planning — evaluate salary, dividends and other options
Deduction & credit planning — identify eligible tax-saving opportunities
Tax instalment planning — prepare for upcoming obligations
CRA correspondence and audit support

Common Tax Questions

When should I start thinking about tax planning?

Year-round. The most effective tax strategies require time to implement — waiting until your return is due limits your options significantly. We recommend reviewing your tax position at least once mid-year.

Should I pay myself salary or dividends?

It depends on your personal tax rate, CPP goals, RRSP contribution strategy, and corporate cash flow. There’s no universal answer — we analyze your specific situation and model out the most tax-efficient approach.

What if I get a letter from the CRA?

Don’t ignore it. CRA correspondence ranges from simple information requests to audit notices. We help you understand what it means, prepare the appropriate response, and communicate with the CRA on your behalf.

Can you file prior-year tax returns?

Yes. We file outstanding T1 and T2 returns regularly. In many cases, filing late returns — even years later — can result in refunds, and voluntary disclosure can reduce or eliminate penalties.

Let's Take Taxes Off Your Plate.

Your first consultation is free. No pressure, no commitment, just a conversation about how we can help your business thrive.

Mon–Fri 10am–6pm · Sat 11am–4pm · Scarborough, Ontario

Chartered Professional Accounting firm serving businesses and individuals across Ontario. Tax, bookkeeping, incorporation, and advisory, all under one roof.

CPA · CMA · QuickBooks ProAdvisor