Renovation Business (5000$-7000$/week)

[Walle123]

Hi we provide all kind of renovation service in Canada. We are processing up to 7000$ of credit card payment a week. We are taking payment by phone and we pay tax on every dime. But I was wondering if there was a way to send the payment directly offshore because we are planning to move the management offshore (All the publicity and manager)
We have a chargeback of 1% so people are almost always happy by our services.

Is there any solution for my situation?

 

[Saka11]

I guess 7k hight for starting.

 

[mnschwarz]

I don't know the Canadian laws specifically but generally if the work is done in Canada, that's where you should be paying tax. To reduce your taxes legally you could look at shifting your profits offshore (as opposed to directly being paid offshore). You'll need a low/no taxed offshore company and an arrangement to pay that company such as interest on loans, trademark or management fees etc. A good lawyer should be used to make sure the docs are done right to cover you. Also talk to a decent accountant about transfer pricing rules and at arms length arrangements. Going this route also ensures you wont lose customers by asking them to pay in to a country they've never heard of!

 

[negon]

You will need to ask the payment ptocessor if they can send the money to a different bank account!