If your corporation has surplus profits for the year, then consider accruing a bonus payable to you or your family members. The bonus does not have to be paid at the end of the year, but simply recorded as a liability. Your corporation will receive a tax deduction for the amount of the bonus accrued.
The CRA requires bonuses to be paid within 180 days of your corporation's year-end. If it’s not paid out within that time frame, then the bonus expense is non deductible to your corporation.
If your company's year end is after June 30, it's very advantageous to accrue a bonus at year-end. This is because the unpaid bonus can be deducted by your company in the current year, but does not have to be included in your personal income until the following year.
