If your corporation declared a bonus in 2018, remember to pay that bonus within 179 days after the corporation’s year-end. Canadian tax rules allow a corporation to deduct a bonus declared to an employee on the corporation’s previous year’s tax return, as long as the bonus is paid within 179 days after the corporation’s year-end.
Click here to read more about this and other early 2019 tax tips, including RRSP, TFSA, and Locked-in Plan conversion.