19 May Non-contemporary sources of income
Did you receive funds this year through a non-contemporary source? Are you unsure of the tax implications imposed by receiving these funds? We are here to help!
Non-contemporary income sources include, but are not limited to:
- Raising funds from the public to be used towards a special project.
Any funds received by means of crowdfunding are considered income and are ultimately taxable.
Expenses incurred that relate to any crowdfunding efforts – for the purpose of gaining income – may be deductible if other requirements from the Income Tax Act are met.
- Money received from YouTube when your post generates a specific number of views.
The Canada Revenue Agency (CRA) views this income source as taxable and must be reported.
Selling Goods Online
- Money received from the sale of goods on eBay, Kijiji, and other third party websites.
The CRA targets high-volume sellers who earn a minimum of $20,000 with at least 24 sales per year, or sellers who generate over $100,000 in a single year.
eBay has released details on certain Canadian eBay sellers who meet the above criteria.
If you are unsure on whether the funds you have received during the year are considered taxable income, please consult with your accountant before filing your income tax return.