Payroll Processing
Incidental wage costs, holiday pay, accident insurance, and statutory reporting requirements vary from province to province in Canada. We run payroll for your employees in Canada according to the applicable provincial regulations.
Our Payroll Services
- Advice on hiring employees in Canada: salary calculation, pension and health benefits, incidental costs etc.
- Establishment of payroll accounting in accordance with Canadian regulations and corresponding execution of the payroll
- Tax and levy payments and fulfilment of statutory reporting requirements at federal and provincial level (including occupational accident insurance, health insurance)
Canadian Payroll Processing
Payday
In Germany salaries are usually paid at the end of the month. In Canada salaries can be paid weekly, twice a month or monthly. Employees in Canada usually expect payments twice a month.
Statutory Accident Insurance
In many cases, employees and companies must register with the provincial statutory accident insurance schemes and pay contributions (e.g. Workplace Safety & Insurance Board - WSIB in Ontario). The contributions depend on the size of the company, the sector and the activities of the employees in the individual case.
Employer Health Tax
The Employer Health Tax (EHT) is an income tax based on the remuneration of employees and former employees. We support you in registering and calculating the EHT of the province.
Bookkeeping
CGCIC provides tailored solutions for every client. Our commitment to staying ahead with digital bookkeeping ensures efficiency and security. Behind our services stands a team of financial experts who keep your records not only accurate but also compliant with the latest regulations. With us handling your financial records, you can focus on growing your business!
Our bookkeeping service includes
- Setting up invoice templates
- Entry and updating of all business transactions in a local accounting system
- Preparation of Accounts Receivables and Accounts Payables statements and reconciliation of creditors, debtors and bank accounts
- Financial reporting: Profit and Loss statement, Balance Sheet and General Ledger
- Preparation of HST statements and fulfilment of statutory reporting obligations
- Cooperation with auditors in respect to the annual financial statements
Notes on Bookkeeping in Canada
Accounting Rules
Accounting in Canada is mostly based on Canadian Accounting Standards, which are strongly oriented to US GAAP.
While financial statements during the year can be prepared following Canadian GAAP, US GAAP or, for example, the German Commercial Code (HGB). For the preparation of year-end financial statements Canadian Accounting Standards are just as mandatory as for reports to tax authorities during the year.
Background on Canadian HST
In Canada, sales tax is generally payable at federal and provincial level. It includes the nationwide sales tax GST (Goods and Services Tax) as well as any other taxes at the provincial level (PST or Provincial Sales Tax).
Many provinces have a so-called Harmonized Sales Tax (HST), so that federal and provincial taxes can be calculated, reported and paid together. However, some provinces do not participate in this system of harmonization. It may be necessary to register with the respective provincial tax authorities (e.g. taxe de vente du Québec (TVQ) / Quebec Sales Tax (QST), Manitoba Retail Sales Tax (RST), British Columbia Provincial Sales Tax (PST), etc.).
