1 Choice of Business Structure

Canadian Tax Essentials: Personal & Corporate · 3:53

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Lyrics

[Verse 1]
Sarah starts a business, keeps it simple and clean
Sole proprietorship, she's living the dream
Reports on T-one form, no separate tax
Personal liability, that's just the facts
But when she brings in Tom, the structure must change
Partnership formed, profits they'll arrange

[Chorus]
Sole, partnership, corporation too
Choose your structure, what's best for you
Deferral advantage, integration game
Professional corps have rules not the same
Business structure matters, get it right
Tax implications keeping you up at night

[Verse 2]
Tom and Sarah file T-five schedules now
Split the income based on partnership vow
But if they incorporate, the game will shift
Corporate tax rates, that's the gift
Small business rate at eleven percent
While personal rates leave your wallet bent

[Chorus]
Sole, partnership, corporation too
Choose your structure, what's best for you
Deferral advantage, integration game
Professional corps have rules not the same
Business structure matters, get it right
Tax implications keeping you up at night

[Bridge]
Doctors, lawyers, professionals take note
Provincial rules determine what they wrote
Some allow corporations, some do not
Check your province, give it careful thought
Joint ventures temporary, partnerships last
Choose your structure, make the right forecast

[Verse 3]
Integration theory keeps it fair
Corporate and personal taxes share
Eligible dividends get the credit boost
While other income gets the regular boost
Deferral lets you time when taxes are due
Corporate structure giving options to you

[Final Chorus]
Sole, partnership, corporation too
Choose your structure, what's best for you
Deferral advantage, integration game
Professional corps have rules not the same
Business structure matters, get it right
Tax planning guidance shining bright

[Outro]
From sole proprietor to corporate crown
Canadian tax law won't let you down
Structure wisely, plan ahead
Keep more money, less tax instead

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