Choosing a Corporation Fiscal Year

Corporations, Tax Returns
Choosing a corporation fiscal year is a decision every new corporation must make.  CRA established some very basic guidelines:  The corporation's tax year, also called its fiscal period, cannot be longer than 53 weeks (371 days)  For new corporations, you can declare your tax fiscal year on your first T2 return after incorporation. Make sure the financial statements you attach to the return match the tax year of the return. On your first T2 return after incorporation, use the date of incorporation as the tax year start. For all subsequent returns, your tax year start will be the day after your tax year-end. Your fiscal year end is a date you must remember by heart, because your corporate tax returns due date is based on your fiscal year end. When to file your…
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