Holding Company in Canada: What is it for? | Avalon Accounting
avalonaccounting.ca
Holding Company in Canada: What is it for? | Avalon Accounting
Learn how a holding company in Canada works. Find out when to use one (with examples) and the advantages and disadvantages of a holding company.
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I get a salary from my holding company. My holding company owns @scorchmarker, an LLC that sells products. When Scorch Marker has profits, it passes management fees to my holding company. My holding company is an LLC taxed as an S-Corp My wife and I are on payroll for the holding company. This allows me to get paid with a paycheck and distributions which helps avoid most self employment tax. Plus it will allow me to sell Scorch Marker without affecting my executive setup. There are a million way
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