Personal tax rate vs. corporate tax rate

In BC, the Federal and BC combined personal income tax rate ranges from 20.06 to 53.5%, which is markedly higher than the corporate income tax rate of 11% for 2023 (=Federal 9% + BC 2%). If your company is a Canadian Controlled Private Company (CCPC) operating as an active business generating income, then incorporation might be a good idea. If your personal income is high or you expect it to be high in the near future, contact us to explore the benefits of incorporation.