CCPC small business tax rate break

Owned by Eliot Muir
Last updated: Nov 26, 2021
1 min read

On the first 500k of profit the federal government gives a better rate of tax:

  • Instead of 29%

  • It’s 9%

This is only for active businesses - not holding companies.

So this deduction gives the corporation back $100k of tax if the company is earning more than 500k of profit.

You only get this tax rate break once. If you control multiple companies you don’t get this rate for each of them.