Incorporation is a deferral decision
A corporation can create a tax deferral when profits remain in the company. If every dollar is withdrawn for personal spending, the benefit can be much smaller. We model the practical trade-off before adding annual compliance costs.
Professional corporations
Regulated professions can have additional rules around naming, share ownership and permitted activities. Tax planning and regulator requirements need to be considered together.
PRECs for realtors
Ontario real estate professionals can operate through a Personal Real Estate Corporation when the structure meets the regulatory conditions. Whether it is worthwhile depends on retained income, commission variability and the additional annual administration.
Federal or provincial
The right jurisdiction usually turns on where the business operates, name protection and regulatory requirements rather than tax alone.