Bookkeeping for Professional Corporations in Ottawa
Monthly bookkeeping, HST filing, payroll, and year-end T2 tax for incorporated consultants, engineers, lawyers, and professional practices in Ottawa. A team of experienced Canadian accountants keeps your books current all year—so you can focus on billable work, not receipts.
Serving Ottawa professional corporations · Virtual service, no commute · (613) 889-2763
taxifi · Monthly close
Ottawa PC
- Bank reconciled Done
- HST return Filed
- Payroll processed Sent
- Salary vs. dividends Modelled
What monthly bookkeeping for an Ottawa professional corporation includes
Everything below is handled by your accountant each month. One flat price, no hourly surprises.
- Full transaction categorization and bank/credit card reconciliation
- Accounts receivable tracking—who owes you, and for how long
- Accounts payable management and vendor payment scheduling
- HST returns prepared and filed on time (quarterly or annually)
- Payroll runs: salary, source deductions, T4s, and ROEs
- Corporate instalment tracking so CRA interest never accrues
- Monthly financial statements (income statement, balance sheet)
- A live dashboard showing cash position, receivables, and tax owing
- Year-end T2 corporate tax return preparation and filing
- T5 slips issued when dividends are paid to shareholders
Separating personal and business finances in your professional corporation
CRA expects a clean line between you and your corporation. Here is how we maintain it.
Dedicated business accounts
Your professional corporation should operate from its own bank account and credit card. We reconcile these monthly and flag any personal transactions that need to be recorded as shareholder loans or repaid to the corporation.
Shareholder loan tracking
If you occasionally pay a personal expense from the corporate account (or vice versa), it creates a shareholder loan balance. We track every dollar so the loan stays clean and does not trigger a taxable benefit under subsection 15(2) of the Income Tax Act.
Reimbursements and allowances
Home office costs, vehicle use, professional dues—your corporation can reimburse you for legitimate business expenses. We document these properly so they are deductible to the corporation and non-taxable to you, within CRA guidelines.
Salary vs. dividends: how we help Ottawa professionals decide
There is no universal right answer. The optimal mix depends on your numbers, not a rule of thumb.
What your accountant considers
Your personal marginal tax rate, RRSP contribution room (salary creates room, dividends do not), CPP contribution preferences, Canada Child Benefit eligibility, Ontario Health Premium thresholds, and how much retained earnings the corporation needs for operations or investments.
Annual modelling, not a set-and-forget formula
Tax rates change. Your income changes. Your family situation changes. We model the salary/dividend split against your actual numbers each year and adjust the recommendation. The goal is to minimize combined corporate and personal tax legally.
Payroll execution included
Once the salary amount is decided, we run payroll, remit source deductions (CPP, income tax) to CRA on time, and issue your T4 at year-end. No separate payroll provider needed.
HST filing and compliance for incorporated professionals in Ottawa
Most Ottawa professional corporations exceed the mandatory HST registration threshold. We handle the ongoing compliance.
When HST registration is required
Your professional corporation must register for HST once it earns more than $30,000 in taxable revenue over four consecutive calendar quarters or in a single quarter. Most incorporated consultants, engineers, and professionals in Ottawa cross this threshold quickly.
Filing frequency and deadlines
Depending on your annual revenue, HST returns are filed quarterly or annually. We prepare each return from your reconciled books, calculate input tax credits (ITCs) you are entitled to claim, and file before the deadline so no interest or penalties accrue.
Input tax credits recovered
The HST you pay on business expenses (software subscriptions, professional development, office supplies, subcontractors) can be claimed back. We ensure every eligible ITC is captured, which directly reduces your net HST remittance.
Year-end T2 corporate tax: a handoff, not a scramble
Because your books are current all year, year-end is straightforward.
What we prepare
The T2 corporate income tax return, financial statements (income statement, balance sheet, retained earnings), GIFI schedules, and any required elections. If your corporation paid dividends, we issue T5 slips to shareholders.
Filing deadline awareness
Your T2 is due six months after your corporation’s fiscal year-end. However, any tax owing is due within two months (or three months for qualifying small CCPCs). We forecast the balance owing in advance so there are no surprises at filing time.
Instalment obligations managed
If your corporation owed more than $3,000 in federal tax in the prior year, CRA expects quarterly instalments in the current year. We calculate the amounts, remind you when they are due, and ensure they are paid on time to avoid instalment interest.
Why Ottawa incorporated professionals choose virtual bookkeeping with Taxifi
No commute, no waiting rooms
We are a virtual bookkeeping service built for Ottawa professionals who bill by the hour and cannot afford to waste it sitting in traffic to drop off receipts. Everything happens through a secure portal, video calls, and encrypted file sharing.
AI-powered accuracy, accountant oversight
Our technology categorizes transactions and flags anomalies automatically. But every file, every return, and every recommendation is reviewed by an experienced Canadian accountant before it goes to CRA or to you.
One team, all year
The same accountant who reconciles your January books files your T2 in the spring. No handoffs between departments, no re-explaining your situation every tax season. Continuity means better advice and fewer errors.
Flat monthly pricing
No hourly billing, no surprise invoices. You know exactly what bookkeeping costs each month, which makes your own cash flow planning easier. See how pricing works.
Frequently asked questions: bookkeeping for Ottawa professional corporations
What does monthly bookkeeping for a professional corporation in Ottawa include?
Monthly bookkeeping includes categorizing all business transactions, reconciling bank and credit card accounts, tracking accounts receivable and payable, preparing HST returns, running payroll, and producing monthly financial statements. Your accountant also monitors corporate instalment obligations and the passive income threshold that affects your small business deduction.
How do I separate personal and business finances in my professional corporation?
Keep a dedicated business bank account and credit card for your professional corporation. Pay yourself a salary, dividends, or a combination through the corporation rather than drawing directly from the business account. Your bookkeeper records shareholder loans, tracks any personal expenses run through the corporation, and ensures the distinction is clear for CRA purposes.
Should I pay myself salary or dividends from my Ottawa professional corporation?
The salary vs. dividends decision depends on your specific situation: your personal income level, RRSP contribution room, CPP preferences, childcare benefit eligibility, and corporate retained earnings. There is no universal right answer. Your accountant models both scenarios against your actual numbers each year and recommends the optimal mix.
Do I need to charge HST as an incorporated professional in Ontario?
If your professional corporation earns more than $30,000 in revenue over four consecutive calendar quarters or in a single quarter, you are required to register for and charge HST. Most incorporated professionals in Ottawa exceed this threshold. Once registered, HST returns must be filed quarterly or annually depending on your revenue level.
What happens at year-end for my professional corporation?
At year-end, your accountant prepares the T2 corporate tax return, the financial statements, and any required schedules (GIFI). If you paid yourself dividends, T5 slips are issued. Because your books are current all year with Taxifi, year-end is a straightforward handoff rather than a scramble to reconstruct twelve months of records.
Can I use a virtual bookkeeping service for my Ottawa professional corporation?
Yes. Taxifi is a virtual bookkeeping service that serves professional corporations across Ottawa. All communication happens through a secure client portal, video calls, and encrypted file sharing. There is no need for in-person meetings. Your books are updated continuously and you have real-time access to your financial dashboard.
Ottawa incorporated professionals we serve
If you operate a professional corporation in Ottawa and bill between $250K–$5M annually, we are built for you.
- Management consultants and IT consultants (incorporated)
- Engineers and engineering firms
- Lawyers and law corporations
- Healthcare professionals (dentists, physicians, optometrists)
- Architects and planners
- Accountants operating their own professional corporations
- Government relations and public affairs consultants
Already working with an accountant who only handles year-end? See how our full-year service compares.
Ready to hand off your bookkeeping?
One discovery call. We learn about your professional corporation, you get a flat monthly price, and the decision stays yours. No obligation, no pressure.
Book a discovery callOr call us directly: (613) 889-2763 · Mon–Fri 9 AM–5 PM