[kijin]

AFAIK Canada does not have U.S.-style LLCs with pass-through taxation. This means you're most likely to be taxed twice: corporate tax on your corporation's profits, and income tax on your salary and/or dividends.

The sum of these two taxes might or might not be lower than income tax on a sole proprietorship depending on your level of income and how you categorize your expenses. Usually, the more money you make, the cheaper it is to incorporate.