#Contractor #LaidOff #TaxSeasonTips
Hey there,
So sorry to hear about your situation as a contractor, getting laid off after just a month must be tough. But hey, you got this! Let’s figure out how to navigate this tax situation together. Here are some tips and possible solutions for you:
– Even though you were told not to get a GST# before making 30k as a contractor, it’s always good to double-check with a tax professional for personalized advice.
– Since you received severance pay, make sure to include that in your tax return next year.
– Keep track of all your expenses related to your contracting work, as they may be tax-deductible.
Remember, it’s always best to consult with a tax professional to ensure you’re fully compliant and making the most out of your tax situation. Hang in there and keep pushing forward! 💪💼📊
18k for a month isn’t a bad layoff. On to the next!
Something doesn’t add up here, how did you get a severance as a contractor? Especially $11k after 1 month. The whole reason companies hire contractors instead of employees is so they don’t need to pay them any extras like severance and benefits.
Nothing to do. Keep your records and report at tax time. No need for a GST number yet. Move on to your other clients.
Make sure you understand the HST/GST rules. If you make 30k in any 4 consecutive quarters (not necessarily a calendar year) then you owe HST/GST on that previously billed money.
My advice is that if you’re going to get contracts then get a number and collect and remit. Then you won’t get any surprises.
No need for a number unless you were charging tax