Ontario Incorporation -- Quebec payroll

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saannto
Posts: 3
Joined: Wed Jan 19, 2011 2:53 pm

Ontario Incorporation -- Quebec payroll

Post by saannto »

Hello All,
I have a Incorporation that has been running for past 3 years in Ontario. at one point of time there were 5 employees (including me) working on my company and i have been running their payroll and my payroll as well.
But for last 3 months, there are no employees working for my company except me. I have been running my own payroll from my own company for last 3 years. I have been working in ontario util Nov 2010.
But I have then moved to Montreal (Quebec) and changed my residence to Quebec. So now, since i am self employed (IT consultant) and i represent my company (Ontario based) to a QUEBEC Client, though I got paid by a vendor who is also incorporated in Ontario.
bottom line: i work for quebec client through a Ontario incorporated vendor who pays me to my Ontario incorporation (so i only charge HST so far) Am i right? or should i need to charge QST???
what is the procedure to run my own payroll in Quebec by having my company in Ontario (i have a health card from Quebec and i can not run a payroll in ontario i believe)

Please explain me the steps. MANY THANKS in advance.
nelsona
Posts: 18680
Joined: Wed Oct 27, 2004 2:33 pm
Location: Nowhere, man

Post by nelsona »

Canada/United States tax and Accounting
After 20 years, I am severely cutting back on responses. Do not ask specifically for my help. There are a few others on this board that can answer most questions. All the best
JGCA
Posts: 754
Joined: Thu Nov 18, 2010 3:05 pm
Location: Montreal, QC Canada

Post by JGCA »

I imagine the Ontario Corp now has a Quebec address since you have moved to Quebec. If so you have to register with the Inspecter Generale des Institutions Financiere within 60 days to obtain youe NEQ ( Numero des Entreprise) they are located at the corner of Bluery and President Kennedey in MOntreal the fee is $ 212 for a Certificate of Immacuralation since you are an Ontario Company now coming to register in Quebec. The banks will also ask for the NEQ number to open up a bank account, if not then I imagine you are still using your Ontario bank and address which is okay as long as you maintain your office in Ontario if not then you have to obtain your NEQ as above. In order to charge the GST since you are providing services in Quebec and you reside here now you should register with Miinistre du Revenu du Quebec for the QST, you will cease to charge the client the 13% HST but rather charge the Montreal client 5% GST and 8.5% TVQ ( up from 7.5% Jan 1 11) remember the 7.5% is levied on top of teh 5% GST so the combined tax is 13.925%.
JG
JGCA
Posts: 754
Joined: Thu Nov 18, 2010 3:05 pm
Location: Montreal, QC Canada

Post by JGCA »

Question of Payroll, you should also register for Payroll with Min du Rev Quebec - MRQ the same time you regsister for the TVQ for fereral purposes your DAS number will remain the same Federally ( Usually the same as your GST number with RP 0001 prefix) they will give you a DAS payroll number for Quebec at the same time you register for TVQ again this number will be the same for TVQ and payroll DAS and you will remitt DAS payments now to Federal and QUebec monthly, or Quarterly the Federal will be much less than before since you were remitting Ontario tax too now the Federal will be much smaller but QUebec will be more also take note since Jan 1 11 in quebec you also have to remitt the CSST ( WOrkmans Comp) with teh payroll to Quebec only, but since for now you are the only employee you do not need to ask for personal protection on your wages only if you elect to will you pay CSST on your earnings.
JG
saannto
Posts: 3
Joined: Wed Jan 19, 2011 2:53 pm

Post by saannto »

Many THanks JGCA.

As you mentioned, Since i already have a federally incorporated company in Ontario, I just paid 212$ to register in Quebec.

so my questions are now

1. by registering my compnay in Quebec means i will get the NEQ automatically right?

2. If yes to Question 1, i will get a NEQ # from quebec, but i want to use my ontario company bank account for business transactions. is that possible?

3. I am planning to run my own payroll in quebec, so i guess i need to register for PAYROLL # in Revenue quebec? Am i right?

4. Also, GST/QST # from revenue quebec to remit all QPST collected? am i right?

5. Do i need to register for payroll and GST # with Revenue quebec or by simply registering at registerie des enterprises quebec?

please let me know.
Thanks in advacne
nelsona
Posts: 18680
Joined: Wed Oct 27, 2004 2:33 pm
Location: Nowhere, man

Post by nelsona »

let's try to keep this on cross-bordr topics please, there are dozens of Cdn tax sites..
After 20 years, I am severely cutting back on responses. Do not ask specifically for my help. There are a few others on this board that can answer most questions. All the best
JGCA
Posts: 754
Joined: Thu Nov 18, 2010 3:05 pm
Location: Montreal, QC Canada

Post by JGCA »

Just to finish off so others can enjoy the cross border nature of this open forum

!Question 1) Yes
2) yes, 3) yes 4) Only get a QST number GST number is the same as before 5) Yes need to go to MRQ for all this not IGIF.

Sorry for the trouble , hope this ends this session.
JG
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