The Bookkeeper's Blog ... Blogs on Good Bookkeeping Practices

Mar 10, Initial entry for car purchase

Wed, 10 Mar 2010 04:44:35 GMT

My wife started a small house-cleaning business in partership with our daughter. Annoyed at the hassles of trying to use our much-in-demand personal vehicle

Mar 3, Business Use of Home

Wed, 03 Mar 2010 16:58:21 GMT

Greetings, I saw your online article and then dare to ask you a question. I hope that you will give me a few minutes to answer it. I am an RN (registered

Mar 2, The Bookkeeping Forum ... The Bookkeeper's Meeting Place

Tue, 02 Mar 2010 09:02:08 GMT

This is where the site is opened up to readers to contribute and participate. Help and be helped on the bookkeeping forum ... for bookkeepers of small business.

Mar 1, Tax Compliance in Canada - Tax Filing Due Dates

Mon, 01 Mar 2010 07:05:07 GMT

Important Canadian tax compliance due dates for GST/HST, PST, payroll source deductions, T4 and T4A information returns, WCB, business income tax returns. Updated for March 2010

Feb 28, The Free Library

Sun, 28 Feb 2010 20:08:16 GMT

I discovered this marvelous resource after reading an AIPB monthly newsletter ... okay I'll admit what I was really doing was ... procrastinating studying

Feb 28, Customer Deposits

Sun, 28 Feb 2010 02:23:26 GMT

Hi, We run a small B&B. If I receive a payment in 2009 for a 2010 booking - do I report the payment as income in 2009 or 2010? After all the guest

Feb 27, Management Fee Bonus

Sat, 27 Feb 2010 14:29:02 GMT

Management Fee Bonus accrued in 2008, paid in 2009. Is a T-slip required? Hi, I'm fairly new at bookkeeping for corporations and deal mainly with small

Feb 26, GST Filing in QuickBooks

Fri, 26 Feb 2010 06:51:33 GMT

I am new to QB (QuickBooks). I would like to know how to clear the last report from filing GST on line. The last person did not clear the report and

Feb 25, When Should You Incorporate in Canada?

Thu, 25 Feb 2010 14:29:21 GMT

You operate a business as a sole proprietor or a partnership. Is it the right time to incorporate your business? This chat gives YOU talking points to discuss with your accountant ... because incorporation isn't right for every business.

Feb 23, Asset Purchase With Trade-In

Tue, 23 Feb 2010 04:45:31 GMT

I am currently studying to take my Certified Professional Bookkeeping exam (March 2010). One of the study materials I am using is John Day's Real Life

Feb 22, HST and Recapture of Input Tax Credits (RITC)

Mon, 22 Feb 2010 16:27:00 GMT

Both the BC and Ontario governments have issued HST Notices 4 and 5 respectively on the temporary recapture of input tax credits for large businesses. This will not be an issue for most small businesses and I present it for informational purposes for bookkeepers.

Feb 21, Capital Lease versus Operating Lease

Sun, 21 Feb 2010 20:01:41 GMT

Small business accounting has a lot of rules. Be on the lookout for capital lease transactions that are treated differently than you would be inclined to think ...

Feb 20, What About Internal Controls? Small Business Accounting Decisions

Sat, 20 Feb 2010 01:35:12 GMT

Internal controls help protect you and your business against the possibility of fraud. They also reduce the likelihood of a bad tax audit. Here are some simple internal controls to implement.

Feb 19, Interest Received in a Deposit

Fri, 19 Feb 2010 18:29:30 GMT

How do you show interest received in a deposit using QuickBooks? I'm not sure exactly what you are asking ... so I'll answer in two parts. Part One

Feb 18, Learning QuickBooks - How to Use Quickbooks

Thu, 18 Feb 2010 11:53:03 GMT

For the work from home business owner who does their own bookkeeping, learning QuickBooks tips to avoid beginner mistakes makes your life a whole lot easier! Ask your beginner QuickBooks question.

Feb 17, HST Transitioning - Ontario Dates

Wed, 17 Feb 2010 15:47:31 GMT

The Ontario government website has an excellent page on what businesses need to do to get ready for HST. The Small Business Transition Credit of up to $1000 is mentioned. This is a one time credit for Ontario (not BC) HST GST registrants. Businesses with annual taxable sales of under two million will receive:

less than $15,000 - $300 credit
$15,000 to $25,000 - 2 of taxable revenue for the quarter
$50,000 to $500,000 - $1,000
greater than $500,000 - nil ... nada ... zilch

You will claim it on your first HST filing (July to September 2010). PST vendor compensation ends March 31, 2010 with your final RST return due July 23, 2010.

Feb 13, Customer Deposits

Sat, 13 Feb 2010 00:40:45 GMT

What account should I use for deposits (received) in advance from clients? I am using QuickBooks. I need to know where I should deposit the payment in

Feb 13, Cost of Goods Sold
In a Resale Printing Corporation

Sat, 13 Feb 2010 00:37:11 GMT

How can I use this account in my business if I do resale of the printing jobs like ... ... business cards, flyers and more? Is it right to use Cost of

Feb 12, 5 Tips to Manage Your Books Yourself

Fri, 12 Feb 2010 19:47:51 GMT

See my article Managing the Books YOURSELF on page 18 in the current issue (January/February 2010) of The Mompreneur magazine. In addition to 5 tips for the unincorporated small business owner, I discuss:

when to outsource your bookkeeping work;
the difference between a bookkeeper and an accountant;
when it's time to hire a professional bookkeeper; and
some things to consider when hiring a bookkeeper or accountant.

The magazine is available online or at Chapters and Indigo stores.

Feb 12, Home Office Organization

Fri, 12 Feb 2010 18:20:16 GMT

If you are looking for advice or ideas on getting your home office ready for business, you may be interested in a series of articles in The Mompreneur

Feb 10, Vehicle Operating Leases

Wed, 10 Feb 2010 23:37:56 GMT

Hello! Thank you for posting your bookkeeping tips. I have found your topics and solutions to be very helpful. I do have a question though and I know

Feb 10, Corporate Tax Expense

Wed, 10 Feb 2010 23:20:56 GMT

The Question(s): Perhaps a silly question - but how do I enter the corporate tax expense? Is it a business expense at all? Which two accounts do I

Feb 10, Report a Materiality

Wed, 10 Feb 2010 17:42:01 GMT

Where is a materiality reported? Hi Jill, I'm going to give you a link on my site where I talk about the concept of materiality. The Materiality Principle

Feb 10, GST Exempt Services

Wed, 10 Feb 2010 12:57:33 GMT

First off, I'd like to thank you for all the wonderful information found on your website! Here is my question: I'm planning on starting my own fitness

Feb 1, Claiming Medical Expenses

Mon, 01 Feb 2010 01:06:21 GMT

In The Tax Detective's latest newsletter (January 31, 2009) ... Elaine Reppenhagan, CGA provides a CRA link for authorized medical practitioners by province

Jan 31, Ontario and BC GST/HST Info Sheets Released

Sun, 31 Jan 2010 22:40:05 GMT

CRA has released GST/HST Info Sheets GI-053 through to GI-059 dealing with the Ontario and BC transitioning to HST in July.

Jan 29, From Shoebox To Quickbooks

Fri, 29 Jan 2010 02:19:00 GMT

Any tips on where to start ... I have a year's worth of receipts, cheques, and statements. Where do you suggest I start? Hi! I'm going to give you

Jan 27, Online Training

Wed, 27 Jan 2010 19:02:52 GMT

I am wondering what time (editor's note: I think this is supposed to read kind) of online training is available for bookkeeping training? I am new to

Jan 27, Who Should Receive a 1099-MISC?

Wed, 27 Jan 2010 18:12:56 GMT

For my U.S. readers, I just thought I'd let you know about Wayne Davies's blog - Self Employed Tax Deductions Today. His newsletter links to his blog.

Jan 26, Becoming a Bookkeeper

Tue, 26 Jan 2010 15:37:57 GMT

I am interested in becoming a bookkeeper and would like to know the best way to get training? I would like to get my training online and would like

Jan 21, GST on Mileage

Thu, 21 Jan 2010 00:10:51 GMT

When charging mileage as a disbursement to a client I have to collect GST. I charge the current treasury board rate. To calculate the GST to be

Jan 19, Ask A Bookkeeping Question

Tue, 19 Jan 2010 15:56:23 GMT

I've added a new feature to this site. You now have the ability to submit a question that will be posted to its own page on this site. This features allows visitors to answer and / or comment on your question. It's your chance to participate. Don't be shy about trying out this new feature. Chances are if you are asking the question, so are others ... or they've already encountered a similar situation and know the answer already. This creates a WIN WIN for everyone. Help and be helped.

Jan 6, New GST/HST Reporting Requirements

Wed, 06 Jan 2010 17:17:50 GMT

The CRA released new GST/HST reporting requirements this week along with the publication Notice 249 Questions and Answers on the New Reporting Requirements for GST/HST Registrants. The proposed changes go into effect July 1, 2010 ... the same date Ontario and BC are scheduled to switch to HST.

Jan 1, 2010 Employee Auto Travel Mileage Allowance Rate

Fri, 01 Jan 2010 18:36:51 GMT

The Department of Finance Canada released an announcement on December 31, 2009 stating all 2009 automobile deduction limits and expense benefit rates for business will remain in effect for 2010. They are:

$30,000 CCA ceiling on passenger vehicles;

$300/month maximum interest deduction on auto loans;

$800/month plus allowable taxes leasing limit deduction;

24 cents/kilometre for general prescribed rate used to determine taxable benefit of personal portion of auto operating expenses;

52 cents/kilometre (first 5000 kilometres) for tax exempt employee auto travel mileage allowance; 46 cents for each additional kilometre;

You can find more information on the Department of Finance Canada website under News.

Dec 18, Electronic ROE Changes

Fri, 18 Dec 2009 22:07:25 GMT

Two changes were made to the EI regulations back in March, 2009 that affect users who file ROEs (record of employment) electronically using ROE Web. The changes do NOT apply to employers still filing paper ROEs.

Dec 14, 2010 Canadian Payroll Tax Tables

Mon, 14 Dec 2009 18:30:25 GMT

I have posted information on CRA and QuickBooks 2010 payroll tax tables.

Dec 3, Management Fees and Salaries for CCPCs

Thu, 03 Dec 2009 19:28:06 GMT

If you are a small owner managed corporation, before you book your management fees or bonuses this year end, check to make sure the circumstances meet CRA criteria.

Nov 21, 2010 Payroll Deductions Formulas for Computer Programs

Sat, 21 Nov 2009 14:27:24 GMT

T4127-JAN Draft payroll deduction formulas for computer programs effective January 1, 2010 have been released by CRA. The publication includes 2010 federal tax rates, income thresholds, and personal amounts in addition to CPP and EI amounts. I have also posted HST notices released this week by the BC and Ontario governments. Ontario HST Notice#4 - Additional Information for Homebuyers and the Housing Industry under Ontario HST BC HST Notice#2 - Point of Sale Rebates for BC HST

Nov 21, Treatment of Bad Debt - GAAP versus Tax

Sat, 21 Nov 2009 13:11:44 GMT

The difference between the accounting treatment of bad debts and tax treatment ... can be confusing. I have updated my original posting to include sales tax. Journal entries covered are:

How to reverse a bad debt write-off in GAAP
How to write-off bad debt on a tax basis
How to record a bad debt recovery on a tax basis

The GAAP journal entries that can be found by following the link "recording bad debt expense" are:

How to record bad allowance
How to write off bad debt

Nov 10, Basic Ratio Analysis

Tue, 10 Nov 2009 15:49:55 GMT

Go beyond the basics of learning to read and understand your financial statements. Learn what ratio analysis can tell you about your business and how to act on what is uncovered. In September, I discussed working capital and current ratio. This month, I've added two accounts receivable ratios ... plus I listed the 5 types of ratios. I'll continue to discuss more ratios over the coming months.

Nov 10, Small Business Accounting and Bookkeeping Tasks --- What To Do and When

Tue, 10 Nov 2009 15:00:39 GMT

Do you want your year-ends to be a breeze? This is a quick article, an overview really, on some small business accounting and bookkeeping tasks that should be done daily, weekly, monthly, quarterly, and annually ... ensuring your year end will go as smoothly as possible. I put this together fairly quickly in August, and I've added a few more items since then ... so if you think I've missed something ... please write me a note ...

Nov 5, Canadian Home Business Taxes Help, Questions and Answers

Thu, 05 Nov 2009 19:52:12 GMT

Home business taxes help ... some frequently asked questions and answers for the home based business owner who does their own bookkeeping ...

Nov 5, Small Business Bookkeeping Help, Questions and Answers

Thu, 05 Nov 2009 18:51:18 GMT

Small business bookkeeping help ... some frequently asked questions and answers from home based business owners who do their own bookkeeping ... with links to practical "how to" bookkeeping articles.

Nov 1, Bookkeeping and Accounting Systems - Small Business Bookkeeping Systems

Sun, 01 Nov 2009 08:58:02 GMT

Small business accounting systems are numerous nowadays. How do you choose the one that is right for your business? I used three different ones in my practice ... then selected the one I liked best.

Oct 29, HST for Ontario and BC - More Transitional Information

Thu, 29 Oct 2009 22:14:31 GMT

CRA released Notice 247 Harmonized Sales Tax for Ontario and British Columbia - Questions and Answers on General Transitional Rules for Personal Property and Services. This notice provides general information pertaining to Ontario HST Notice #3 and BC HST Notice #1 released last week.

Oct 29, Intuit QuickBooks Security Alert

Thu, 29 Oct 2009 22:07:59 GMT

Intuit announced an advisory warning for 2007- 2009 versions of QuickBooks that could allow hackers to access a user's computer through 2 activex files. Their latest updates fix the problem.

Oct 22, Transitional Rules for HST in Ontario Announced

Thu, 22 Oct 2009 16:37:17 GMT

On October 14, 2009, the Ontario Ministry of Revenue released HST Information Notice 3 General Transitional Rules for Ontario HST. Yesterday, the CRA revised Ontario's HST Notice 244 to include information on non-residential real property.

Oct 22, Transitional Rules for HST in BC Announced

Thu, 22 Oct 2009 16:33:43 GMT

The CRA has released Notice 246 Harmonized Sales Tax for British Columbia - Questions and Answers on Transitional Rules for Non-Residential Real Property Situated in British Columbia On October 14, 2009, the BC Ministry of Finance released HST Notice 1 General Transitional Rules for British Columbia HST.

Oct 18, Pay Taxes Online at CRA Website

Sun, 18 Oct 2009 05:00:08 GMT

CRA has introduced My Payment. Instant, secure payments without sharing your banking information. What a time saver this will be!

Oct 9, Canadian Taxpayer Bill of Rights

Fri, 09 Oct 2009 15:53:45 GMT

The Taxpayer Bill of Rights lays out 15 basic rights along with 5 commitments to Small Business in RC4417.