Industries

Accounting and construction bookkeeping for contractors and trades.

Bookkeeping, GST and tax for contractors and trades, so you know which jobs make money.

What we look at

What we keep on top of for contractors.

Job costing

Revenue and costs tracked by job, so you can see which work is profitable and price the next one better.

GST/HST filing

Registration, filing and input tax credits handled so returns are routine instead of a scramble.

T5018 reporting

If construction is your primary business and you pay subcontractors, you generally have to report those payments on T5018 slips.

Holdbacks and progress billing

Progress billings and builders lien holdbacks recorded correctly, so income isn't overstated or missed.

Subcontractor or employee

How you classify workers affects payroll, CPP, EI and WorkSafeBC. Getting it right avoids reassessments later.

Equipment and vehicles

Trucks, tools and equipment depreciated correctly, with financing and vehicle logs set up from the start.

What we do for you

Clean monthly books make GST, T5018 slips and year-end straightforward, and show you which jobs are making money.

  • Monthly bookkeeping and cleanup
  • GST/HST returns
  • T5018 slips
  • Payroll and T4 slips
  • Corporate year-end and T2 return
  • Personal T1 returns
  • Compilation financial statements for lenders and bonding

Guide

Bookkeeping and tax for BC contractors.

Contractors usually don't get into trouble because of tax rates. They get into trouble because the books fall behind, GST piles up and year-end becomes a rebuild. Here's what keeps a construction business on track.

Job costing: know which jobs make money

Tracking revenue, materials, labour and subcontractor costs by job is the single most useful habit in construction bookkeeping. It shows which work is profitable, helps you price the next bid and makes progress billing easier to support.

Progress billing and holdbacks

Under BC's Builders Lien Act, payers generally hold back 10% of each payment until the lien period ends. Holdbacks owed to you are still part of your revenue, so they need to be tracked carefully so income isn't overstated or missed.

GST/HST

  • Register once taxable revenue passes $30,000 over four consecutive calendar quarters
  • Claim input tax credits on materials, tools, fuel and subcontractor invoices
  • File on time: late GST returns attract penalties and interest even when you're owed a refund

T5018 slips

If construction is your primary business and you pay subcontractors for construction services, you generally have to report those payments on T5018 slips. They're due six months after the end of the reporting period you choose, either the calendar year or your fiscal year.

Subcontractor or employee?

How you classify workers affects payroll deductions, CPP, EI and WorkSafeBC coverage. The CRA looks at control, who supplies tools, who can profit or lose, and whether the worker runs their own business. Getting it wrong can mean reassessed payroll for past years.

WorkSafeBC clearance letters

If you hire subcontractors, you can request a clearance letter from WorkSafeBC before paying them. It confirms their coverage is in good standing, and helps protect you from becoming liable for their unpaid premiums.

Vehicles and equipment

Trucks, tools and equipment are depreciated through capital cost allowance rather than deducted all at once. Keep a vehicle log for any vehicle used for both business and personal driving, and keep financing agreements so interest is recorded correctly.

A simple monthly routine

  • Reconcile bank and credit card accounts
  • Code costs to jobs as invoices arrive
  • Invoice progress billings and track holdbacks
  • Set aside GST collected in a separate account

Have a question about your situation?

Book a call

Working with us

In person in Vancouver, or by video from anywhere in BC.

01

Start with a short call

We learn what you need and give you a quote upfront.

02

Connect securely

You authorize us with the CRA and share documents through our secure client portal.

03

We do the work

Your file is prepared and reviewed by a CPA, with questions sent as they come up.

04

Review together

We walk you through the results by phone, video, at our office or wherever suits you.

Questions

Common questions.

Do I need to file T5018 slips?

Generally yes, if construction is your primary business activity and you pay subcontractors for construction services. The slips are due six months after the end of the reporting period you choose.

My books are behind. Can you catch them up?

Yes. We clean up and catch up bookkeeping before a year-end or GST filing, then keep it current for you.

Can you work with my bookkeeper?

Yes. If you have a bookkeeper, we review their work at year-end and handle the tax side.

Do I need to meet you in person?

No. Most clients meet by phone or video, and we're happy to come to you if you'd rather meet in person.

Should my construction business be incorporated?

Often, once profits exceed what you need personally. It can also limit personal liability, so we review both.

Can you set up job costing in QuickBooks Online?

Yes. We set up projects or classes so every cost is coded to a job from the start.

How are fees set?

Fees depend on the size and complexity of your file. We give you a quote upfront after a short first call.

Talk to a CPA about your file.