Business Incorporation
Incorporate your business the right way.
Incorporating your business in Canada is one of the most impactful financial decisions you'll make. It unlocks access to the Small Business Deduction, protects your personal assets from business liability, and creates a platform for income splitting and long-term tax planning. We handle the incorporation process from start to finish — and set you up for success from day one.
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What We Offer
Who Is This For?
Why Choose Synergy
Significant Tax Savings
Canadian-Controlled Private Corporations (CCPCs) pay approximately 12.2% on the first $500,000 of active business income — far below personal marginal rates of 43–53% in Ontario. Incorporation defers personal tax on profits you reinvest.
Personal Liability Protection
A corporation is a separate legal entity. Your personal assets — home, car, savings — are generally protected from business debts and legal claims when you operate through a corporation.
Income Splitting Opportunities
With the right share structure, dividends can be paid to a spouse or adult children in lower tax brackets, reducing your household's total tax bill — subject to Tax on Split Income (TOSI) rules.
Lifetime Capital Gains Exemption
When you sell qualifying small business corporation shares, you may be eligible for the Lifetime Capital Gains Exemption (LCGE) — $1.25 million for dispositions on or after June 25, 2024. Proper structure from day one maximizes your ability to claim it.
Frequently Asked Questions
Should I incorporate federally or provincially in Ontario?
Both options are available and both work well for most businesses. Federal incorporation ($200 online) allows you to use your corporate name across Canada, which is useful if you plan to operate nationally. Ontario provincial incorporation ($300) is generally sufficient for businesses operating only in Ontario. Both types must register as an extra-provincial corporation in any province where they carry on business. We advise based on your situation.
What is the Small Business Deduction and how much can I save?
The Small Business Deduction (SBD) reduces the federal corporate tax rate to 9% on the first $500,000 of active business income earned by a Canadian-Controlled Private Corporation (CCPC). Combined with Ontario's small business rate of 3.2%, the combined Ontario rate is approximately 12.2% — compared to personal marginal rates of 43–53% in Ontario. On $150,000 of business income, incorporation could save you $45,000+ in annual tax depending on how much you take out personally.
How do I pay myself from my corporation?
There are two main methods: salary and dividends. A salary is deductible to the corporation and creates RRSP contribution room and CPP contributions. Dividends are paid from after-tax corporate profits and are subject to dividend tax credits. Most accountants recommend a combination of both, optimized each year based on your personal income needs, RRSP room, and the corporation's profits. We include a salary vs. dividend analysis in our post-incorporation planning session.
What is the Lifetime Capital Gains Exemption (LCGE) and how does incorporation help?
The LCGE allows Canadian individuals to exempt up to $1.25 million (for dispositions on or after June 25, 2024) of capital gains on the sale of qualifying small business corporation shares from tax. To qualify, shares must meet tests around asset composition and holding periods. By incorporating early and structuring your share capital correctly from the start, you preserve your ability to claim this exemption when you eventually sell your business — potentially saving hundreds of thousands of dollars.
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