Are you a PSB (Personal Services Business) Risk?
Job Works can help you minimize the risks of being a PSB!
JOB WORKS INC. is a team of experienced professionals including accountants and tax lawyers who can provide essential services to business owners to help them thrive in this ever-changing marketplace. Job Works Inc. works directly with KD Professional Services Corp., an accounting firm and Squire Law Firm, a legal firm specializing in tax.
JOB WORKS INC. offers a unique structure for subcontractors that can minimize the risks of being declared a Personal Services Business (PSB). It also offers a compensation method for employees that will legally transition them to subcontractors for the purpose of reducing taxes and increasing take home pay.
Why do you need to minimize the PSB risk?
Once you are declared a PSB by the CRA, you will lose a number of tax advantages.
- You will not eligible to claim the Small Business Deduction.
- You will not be eligible to claim many standard business deductions
- You may owe the CRA tax penalties from previous claims of disallowed business deductions and for back payroll taxes (CPP, EI).
- You will now pay much higher tax because of the recent tax rate increase to personal services businesses.
Using Job Works will give some protection against the CRA and the negative consequences of being a PSB. Talk to us today and learn more!
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