A Corporation's first tax return is very important. Several elections are made which will dictate the way the corporation is taxed for many years to come. Some of the more significant elections that may need consideration are outlined below:
- The selection of a method to cost inventories using the most appropriate method for your business.
- The treatment of reporting gains on investments.
- The selection of a year-end date.
The elections discussed above are only a few of those that may need to be considered in an initial return. A qualified tax practitioner can help plan how best to utilize elections to take advantage of some of the following provisions of the federal and provincial tax laws including:
- Operating loss carryovers
- Research and development tax credits
- Business tax credits
Download the free full version, The Small Business Accounting Kit