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When to Incorporate?

This is a discussion on When to Incorporate? within the Business and Corporate Help forums, part of the Ask an Attorney category; I am a self-employed individual. I am a Canadian citizen who is living in the United States. I only pay taxes in Canada, and all the money I earn is online and is transferred to my Canadian bank account. My question is I am currently making about $100,000 ...


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Old 04-07-2008, 09:38 PM
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Default When to Incorporate?

I am a self-employed individual. I am a Canadian citizen who is living in the United States. I only pay taxes in Canada, and all the money I earn is online and is transferred to my Canadian bank account.

My question is I am currently making about $100,000 per year (increasing by about $100,000+ each year). I currently pay taxes in Canada as an individual and operate under my own name. My only business expense is the purchase of new domain names and websites costing between $10 - $25,000 each. These same websites and domains are also the source of my income.

My question is would I be better off to continue paying taxes as an individuals or should I think about incorporating. I do not have any partners and if I make $100,000+ this year I will probably re-invest at least 90% of this into the business for new acquisitions. What kind of tax differences would I have if I was to incorporate.

Any help is appreciated. I check the forum daily so please feel free to post here or send me a private message.
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