Finance, Tax, and CRA Compliance
Canadian auto shops face GST/HST, payroll, capital cost allowance on equipment, and the specific CRA scrutiny that comes with cash-heavy small businesses. This category covers bookkeeping setup, tax-efficient owner compensation, equipment financing, and the CRA audits independent shops most often face. Written with input from accountants who specialize in trades businesses.
15 articles in this category.
Back to all articlesCapital Gains Inclusion Rates: What the 2025 Changes Mean for Your Garage
Understand 2025 capital gains inclusion rates and how they affect auto shop sales, investments, and business exits. Learn tax planning strategies.
Small Business Tax Rates by Province: Where Is It Cheapest to Operate?
Compare small business tax rates across Canadian provinces. Learn which provinces offer the best tax environment for auto repair shops in 2025.
Audits and the Auto Industry: What the CRA Looks for in Cash-Heavy Businesses
Understand CRA audit risks for auto repair shops. Learn what CRA scrutinizes in cash-heavy businesses and how to prepare for audits.
Financing Equipment: Leased vs. Borrowed Equipment Tax Implications
Compare leasing and borrowing for auto shop equipment. Understand tax deductions, cash flow impact, and which strategy works best for your shop.
Managing Accounts Receivable: How to Stop Chasing Customer Payments
Learn strategies to manage accounts receivable and improve cash flow. Reduce late payments and bad debts at your auto shop.
Bookkeeping for Mechanics: Why Sage Accounting Is a Shop Staple
Learn why Sage Accounting is popular with auto shops. Understand bookkeeping basics, software features, and how to simplify your financial management.
The Productivity Super-Deduction: How to Lower Your Tax Bill with Tech
Learn how the Productivity Super-Deduction allows auto shop owners to deduct technology investments. Understand eligibility and tax savings.
Tax Deductions for Tool Purchases: How the $100,000 Tool Box Pays Off
Learn how auto shop owners deduct tool purchases and equipment. Understand CCA, immediate expensing, and strategies to maximize tax savings.
Understanding Bare Trusts in 2026: Does Your Shop Need to File?
Learn what bare trusts are, when auto shop owners need them, and CRA filing requirements. Understand if your shop structure requires bare trust compliance.
Building RRSP Room Through Salary: Planning Your Retirement Early For Auto Repair Shop Owners
Learn how auto shop owners build RRSP contribution room through salary. Understand the 18% rule, pension adjustments, and retirement planning strategies.
Salary vs. Dividends for Auto Shop Owners: The Tax Strategy That Matters
Auto shop owners choose between salary and dividends for tax savings. Salary generates CPP contributions and RRSP room. Dividends offer tax-preferred treatment. Learn which strategy works best for your business in 2026.
CPP Contributions in 2025: What Your Auto Shop Payroll Really Costs
Understand 2025 CPP contribution rates, maximums, and how self-employed auto shop owners calculate real payroll costs. Learn strategies to manage CPP expenses.