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Sole proprietor or corporation

Compare tax on business income using two rates you type.

CAD

The income you want to compare, in Canadian dollars.

%

The effective percent you type, from 0 to 100. Not a bracket from a province.

%

The combined percent you type, from 0 to 100. Not a province small-business rate.

Result

Sole proprietor or corporation

Sole tax minus corporation tax

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Enter income and both rates to compare the tax.

Ballpark estimate, check before you buy or quote.

You type both rates. This is not a province tax table. A simple estimate, not advice.

Estimate for planning only. This is not tax, legal, accounting or financial advice. Results depend on the figures you enter. Check all numbers, rates and rules with the official source or a qualified professional before relying on them.

How this works and common questions

About this tool

Each tax is the income times the rate you type. The rates are not looked up by province. A simple estimate, not advice.

How it works

Income times each rate you type, rounded half up to the cent. The result is the sole proprietor tax minus the corporation tax. $80,000.00 at 25.00% is $20,000.00. The same income at 12.20% is $9,760.00. The difference is $10,240.00.

Rules

You type both rates. This page does not use a province, a tax bracket, or a small-business limit. $10.00 at 0.05% is $0.01, because half a cent rounds up. A simple estimate, not advice.

Questions

Does this use my province?

No. You type both rates. It is not a province tax table.

How is the tax rounded?

Each tax is half up to the cent. The difference subtracts those rounded amounts. $10.00 at 0.05% is $0.01.

Is this tax advice?

No. It is a simple estimate from the rates you type, not advice.

Do I need an account?

No. The tools work without one. You only need to sign in to save your work.

Is what I type saved?

No. Nothing is saved unless you sign in and choose Save. Otherwise it stays on the page.

Do you show ads or sell my information?

No. We show no ads and we do not sell your information.

Is this tax or legal advice?

No. Results are estimates for planning. Check rates and rules with the official source or a qualified professional.

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Estimate for planning only. This is not tax, legal, accounting or financial advice. Results depend on the figures you enter. Check all numbers, rates and rules with the official source or a qualified professional before relying on them.