We provide comprehensive remote services for bookkeeping, tax preparation, and GST filing specifically geared toward commercial transport small businesses across all regions of Canada. Based in Southern Alberta, our firm primarily serves clients in the Calgary and Lethbridge areas. However, we extend our services to rural and small-town clients including Chestermere, Carstairs, Diamond Valley, Coaldale, Fort Macleod, High River, Okotoks, Nanton, Strathmore, and Vulcan.

For clients located outside Southern Alberta, we offer virtual consultations and support via video calls, ensuring that even those in more remote or distant provinces can benefit from our expertise. Our client base primarily consists of owner-operator truck drivers who manage their operations independently without additional employees or subcontractors. However, we also cater to businesses with larger fleets, ranging from 1 to 10 trucks, including those with subcontractors and employees.

Our remote services are designed to provide flexibility and convenience, allowing us to support your business needs regardless of your location. Whether you require assistance with daily bookkeeping tasks, preparing your tax returns, or managing GST filings, our team is equipped to deliver high-quality, personalized service to help you efficiently manage your financial responsibilities.

We are not CPA accountants, though we can provide trucking companies with much the same services a CPA accountant could. Tyler (bookkeeper & tax preparer at Dymas Services Ltd.) has an associate’s degree in Business Administration (highest honors) from College of the Desert (Palm Desert, California) and a B.A. degree with a concentration in Accounting (Summa Cum Laude) from California State University, and over 12 years’ experience in accounting for small businesses. With over 30 years’ combined experience, we offer exceptional services comparable to that of a CPA without the outrageous fees and prices. We are well-experienced in GST audits, Federal income tax audits, tax returns, complex adjusting journal entries, incorporations, applying for BN and GST numbers, and just about anything you can think of for a small trucking business.

Starting a trucking company in Canada involves several costs, which can vary significantly based on the scale and scope of your operations. Here's a breakdown of the typical expenses you might encounter:

1. Equipment and Vehicles:

One of the largest initial investments is purchasing or leasing trucks and trailers. Depending on the type of trucks you need—such as long-haul trucks or specialized equipment—the costs can range from $30,000 to $350,000 per truck. This can be financed or, if you have the cash, can be purchased outright. New vehicles tend to be more expensive but come with warranties and lower maintenance costs, whereas used trucks might be more affordable but could require more frequent repairs. Additionally, you’ll need to budget for trailers, which can add another $10,000 to $100,000 depending on their type and condition. Depending on your dispatch, you may want to opt for leasing a semi-truck instead of buying the whole tractor-trailer.

2. Licensing and Permits:

To operate legally, you must acquire several licenses and permits. This includes a Commercial Vehicle Operator's Registration (CVOR) in certain provinces, an International Registration Plan (IRP) for cross-border operations, and permits for operating within specific provinces or territories. These costs can range from a few hundred to several thousand dollars. Additionally, you will need to apply for and maintain insurance, which is a significant expense that varies based on the type and amount of coverage.

3. Insurance:

Insurance is another major cost in starting a trucking company. Commercial truck insurance can be quite costly, with premiums typically ranging from $5,000 to $15,000 annually per truck, depending on factors such as the type of cargo, driving history, Lease vs purchase of transportation equipment, and the region where you operate. This insurance generally covers liability, cargo, and physical damage, and it’s crucial for protecting your business from financial loss due to accidents or other incidents.

4. Office and Administrative Costs:

Setting up an office involves expenses for office space, equipment, and supplies. This can include renting or purchasing office space, computers, phones, and other administrative tools. Additionally, you’ll need to budget for software and systems for managing logistics, dispatch, and accounting. Administrative costs also include legal fees for setting up your business structure, such as incorporation, and consulting fees for professional advice on compliance and regulations.

5. Operating Costs:

Ongoing operational costs include fuel, maintenance, and repairs for your trucks. Fuel costs fluctuate based on market conditions, while regular maintenance and repairs are necessary to keep your vehicles in good working order. You should also factor in costs for driver wages if you plan to hire additional staff, as well as tolls and other travel-related expenses.

6. Miscellaneous Expenses:

Finally, it’s wise to set aside funds for unforeseen expenses or emergencies. This includes having a financial cushion for cash flow fluctuations and potential delays in securing contracts. Additionally, budgeting for marketing and business development to attract clients and build your brand can be beneficial.

The cost to start a trucking company in Canada can range widely based on your specific needs and business model, but it is essential to carefully plan and budget for these initial and ongoing expenses to ensure a successful launch and sustainable operation.

It is common for truck drivers who operate as owner-operators to receive payments that are subject to a zero-rated GST (Goods and Services Tax) rate. This zero-rating applies specifically to international freight and certain domestic transportation services, which means that while freight haulers do not charge GST on their invoices, they are still required to file GST remittances.

However, due to this zero-rated status, rather than having a GST balance to pay, truck drivers often find themselves eligible for a GST refund. This is because, with zero-rated transactions, the GST collected on sales is nil, but the input tax credits (ITCs) they can claim for business expenses are still valid.

We handle the calculation of these ITCs by reviewing and analyzing the trucking business expenses and the GST paid on those expenses within the GST reporting period. By applying these credits to the GST return, we ensure that any GST that you are entitled to claim back is accurately calculated and applied. We then file the GST return based on these calculations, ensuring compliance with tax regulations and maximizing your potential refund. This process helps you manage your tax obligations efficiently while optimizing the financial benefits of your business expenses.

To effectively manage and track expenses related to your hauling income, we strongly recommend using a dedicated business bank account and a business credit card for all financial transactions associated with your trucking operations. By consolidating your business-related transactions into these accounts, you simplify the process of monitoring and categorizing expenses, making it easier to maintain accurate financial records. This approach minimizes the need to sift through personal accounts and cash receipts, streamlining your bookkeeping efforts.

It's important to retain all personal and cash receipts that pertain to business expenses, as these documents are essential for thorough expense tracking and accurate financial reporting. Keeping these receipts organized and accessible ensures you can substantiate your deductions and financial records during tax season or any potential audits. By separating business and personal finances and maintaining meticulous records, you enhance the clarity of your financial management and support the overall success of your hauling business.

As a trucker, there are several compelling reasons to consider operating as a corporation in Canada. Incorporating your trucking business offers significant financial and legal advantages compared to being self-employed.

One major benefit is the potential for lower tax rates. Incorporated truckers generally benefit from the Canadian small business deduction, which reduces corporate tax rates on the first portion of business income. This can result in substantial tax savings compared to the higher personal income tax rates faced by sole proprietors.

Additionally, incorporating allows for income splitting among family members through dividends. By distributing income in the form of dividends to family members who may be in lower tax brackets, you can potentially reduce the overall tax burden on the business income.

Corporate tax deductions are also broader and more flexible than those available to sole proprietors. Corporations can deduct a wider range of expenses, including employee benefits, director compensation, and other business-related costs, which can further enhance tax efficiency.

Moreover, incorporating provides limited liability protection. This means that your personal assets are generally shielded from business debts and liabilities, reducing the risk of personal financial loss in the event of legal issues or financial difficulties within the business.

However, it is important to consider the additional costs and complexities associated with operating as a corporation. You will incur higher accounting and legal fees, setup costs, and ongoing expenses for annual corporate filings, name and address changes, and meticulous record maintenance. The corporate structure also introduces additional layers of compliance and regulatory requirements, which can make the business more complex to manage.

Overall, while incorporating your trucking business can offer significant benefits in terms of tax savings and liability protection, it requires careful consideration of the associated costs and administrative responsibilities. Consulting with financial and legal professionals can help you navigate these complexities and determine if incorporating is the right choice for your specific situation.