[Verse 1] Sarah hires a web designer, freelance coder too Payments flowing to contractors, here's what she must do Every dollar that she spends on subcontracted work Gets deducted from her income, watch those taxes shrink [Chorus] Five hundred triggers T4A, calendar year's the frame Arm's length relationships, keep the structure clean and plain Subcontractor payments, fully deductible they say Mark your calendar, issue slips by the deadline day [Verse 2] Independent contractors with their own business space Set their hours, use their tools, control their working pace Not your employee on payroll, genuine third party Document the arrangement, keep it squeaky clean and hearty [Chorus] Five hundred triggers T4A, calendar year's the frame Arm's length relationships, keep the structure clean and plain Subcontractor payments, fully deductible they say Mark your calendar, issue slips by the deadline day [Bridge] January first to December thirty-first Add up every payment to each contractor first If the total hits five hundred, T4A must be sent Proper documentation proves every penny spent [Verse 3] Brother-in-law graphic work might raise a warning flag CRA examines closely when family's in the bag Genuine arm's length dealing, fair market rates apply Keep those business records tight, no need to question why [Chorus] Five hundred triggers T4A, calendar year's the frame Arm's length relationships, keep the structure clean and plain Subcontractor payments, fully deductible they say Mark your calendar, issue slips by the deadline day [Outro] Contractors help you grow, deductions help you save T4A compliance keeps you out of trouble's cave
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