Corporations in Canada are taxed on their net income, with a federal tax rate of 15% on active business income or 9% for Canadian-controlled private corporations (CCPCs) on the first $500,000. Provincial tax rates vary by region, typically ranging from 0% to 16%. CCPCs can also benefit from the Small Business Deduction on eligible income. All corporations must file a T2 Corporate Tax Return annually, with taxes due within 2–3 months and filing deadlines 6 months after the fiscal year-end. Businesses earning over $30,000 annually must register for GST/HST. Passive income is taxed at higher rates, while capital gains are taxed at 50%. Dividends paid to shareholders are taxed personally, while salaries to owners are deductible for the corporation. For compliance, consult a tax professional or M7 for assistance.