Ep. 397 | Taxes, Write-Offs and Running a Small Business - Jami Monte, CPA

[@torontotattoohaus1921]

This was VERY helpful. Thanks guys!

[@jessicamoorhouse]

I'm so glad you liked it!

[@All-About-the-Dog]

Great episode! Question for you ladies, Jami mentioned bank statements don’t count as documentation. If many of my expenses are in USD, do I need to keep/include credit card statements to show what I actually paid in CDN dollars?

[@jessicamoorhouse]

You'd first keep the receipts that would should the price in USD, but yes, it's also important to keep the bank or credit card statements to show you paid in CDN and what the conversion was. Basically we were just saying don't just rely on your bank/credit card statements, you also need the receipts because the CRA will require those if they audit you.

[@All-About-the-Dog]

Thanks!!

[@dammar117]

But if I have to tack on 13% to my price, my client sees it as more expensive. My clients are mostly private individuals, so 13% is a big deal. I'm going to lose potential clients. When you mentioned people trying to keep their sales under 30k... I thought I was alone! 😂

[@jessicamoorhouse]

I get what you're saying but I think most individuals are actually used to pay sales tax on their purchases. As a long-term business strategy, I wouldn't avoid earning more than $30,000 just to avoid charging customers sales tax as that inevitably puts a ceiling on how much you can earn.