If you are a practicing dentist in Canada, it is important to know the different types of taxes in the country related to dental services. If you are unsure about how to structure your tax payments, it is better to use to services of a Dental Accountant. By structuring the tax payments, you can be stress-free and continue to be part of the frontline workers fighting the pandemic. Read more here about how dental students plan to be part of the pandemic vaccination drive.
Different Types Of Tax
Here are the different types of tax levied for dental practices in Canada
Locum And Principal
This type of tax can be termed a short-term arrangement that you can cover for the absence of the principal dentist. The reason for the absence of the principal dentist could be a vacation, illness, or any other, and it requires you to step in and treat his patients in his absence. Normally, the principal dentist’s office invoices the patients for the service provided by you. You will get a certain percentage of the invoice bill as compensation for your services.
It is completely fair for you to pay for some common expenses as you work from the principal dentist’s office. However, ensure that the expenses are not deducted directly from your pay as if it is, then HST will be applied.
This tax structure is somewhat similar to the first tax type- Locum and principal agreement. However, this tax type is for a longer period. You will be the principal dentist’s associate in this tax structure. In this, the principal dentist’s issue invoices for your services and ensure that you get a percentage of those bills. If you do not want to trigger HST, ensure that the common expenses are not deducted directly from your salary.
The last tax type for dental practices is called a Cost-sharing agreement/arrangement. In Canada, this is the tax structure commonly used for dental practices.
In a cost-sharing arrangement, one or more dentists will practice independently from a shared office. Everyone who is part of this agreement should share the common expenses.
Features Of Cost-Sharing Agreement
The main features of a cost-sharing agreement are-
The principal dentist will pay common expenses such as rent, payroll, administration, utilities, equipment lease, furniture, and fixtures. The other dentists will reimburse their share of the common expenses.
For maintaining common expenses, a common bank account will be maintained where each dentist should deposit a fixed amount periodically to ensure that enough money is available to pay expenses.
In the cost-sharing agreement, it will be mentioned that each dentist will be responsible for certain shared expenses.
The main advantage of this tax type is that each dentist can do their dental practice independently and reduce overhead costs.
If the cost-sharing agreement is structured correctly, then HST will not be applied in the payments between the dentists.
Knowing these taxes can help you structure your dental practice and, at the same time, makes you stress-free.
Professional cleaning service has evolved from what was known as a general cleaning a year back to exclusive services now that include mandatory disinfection methods. Disinfection methods like triple clean and fogging methods are on top of the cleaning services list actively employed by the industries to keep their premises disinfected. Top Cleaning Services Mississauga has been mandatorily following disinfection services ever since the onset of the pandemic. Please find out more to know how these services keep abreast with the disinfection guidelines laid down by the medical and governmental authorities; and why it is essential to rely on these services regularly to keep yourself safe from infection.
Thanks to the amazing routine followed by the cleaning services, many industries are back into operation. Reports claim a substantial increase in demand for their services over the last year. However, these services also demand preparations from the client companies to make their services fruitful. So if you have hired a cleaning service, make sure that the following preparations are done beforehand.
Be mindful of this six to-do list before hiring a cleaning service
Keep your valuables safe
Although cleaning services ensure a thorough background checking of their staff according to the provincial laws, cleaning companies often request the employing companies to keep their valuables safe and away from the cleaning site. Ensure that items like gold, electronic equipment, cash, or checkbooks are removed from the site and kept in safe custody. Following a safe practice can ensure peace of mind and make the work environment even more harmonious.
Remove important documents from the cleaning site
Just like securing physical valuables, it is advised to keep all your company documents, bank or credit statements, insurance policies, premium receipts, invoices, other official documents away from the cleaning sites. This practice makes sure that these valuables are not misplaced or are not misused by the cleaning agents.
Organizing your furniture
An office interior can be very complicated as dozens of furniture occupy the space as a whole. It is advised to move and gather this furniture together in a place or a corner. Remember, a cleaning or disinfection service is hired only for cleaning. Organizing the furniture mess would consume their considerable work time, forcing them to extend their service for a few more days. The practice of organizing the furniture beforehand also ensures the safe shifting of these pieces.
Consider maintaining additional security for weekend cleaning services
As most of the cleaning services are employed after business hours, the companies prefer hiring them during weekends or nights. Ensure that your office has adequate protection during nights and weekends.
Not all the offices require the same cleaning services. Some may require extra attention towards a specific area, while some others would require fillings or repairs. It is recommended to communicate and document your needs to the cleaning services beforehand to avoid confusion later on.
Make a note of damaged equipment before employing a cleaning service
It is very important to document the pieces that are broken before engaging a cleaning service. Some services even recommend their clients to repair these before the commencement of cleaning to ensure that these do not give rise to any disputes afterward.