Less Red Tape Expected for Canada’s Small Business Accounting

Small businesses that are bogged down in accounting tasks in Toronto and the rest of Canada can expect a bit of relief.

Earlier this month, The Canada Revenue Agency and the Federal Government announced they are cutting down the “red tape” for small businesses to submit their accounting and bookkeeping.

The CRA is making changes to simplify things, such as:

• Allowing businesses to submit payroll enquiries through the My Business Account enquiries service
• Allowing businesses to update business banking and direct deposit information online
• Improved access to My Business Account by reducing the processing time for a Business Consent Form from 14 days to only 5 days
• Increased outreach to businesses to ensure they are aware of less burdensome filing frequency options. For example, filing quarterly rather than monthly.

The CRA drew up this round of improvements based on consultations they held in seven cities across Canada, with over 140 small business owners, accountants, and bookkeepers.

“Improved technology put in place by our Government has made it much easier for small businesses to manage their taxes and we are committed to continuing that progress,” said The Honourable Gail Shea, Minister of National Revenue and Minister for the Atlantic Canada Opportunities Agency

“With this latest suite of improvements, business owners and their tax professionals will have greater access to the online services they are asking for.”

If you have any questions about tax or accounting, please contact our Toronto office.