It's Tax Time!!!

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TruthsAreUs

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Apr 12, 2007
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Hey everyone,

Just curious how many of you Canadians out there claim your affiliate/AdSense/Etc... income on your taxes?? I know once you hit a certain income level it's a no-brainer, but at what $ point do you start claiming?

This is my first year making any money online, so I'm totally new to this part of the business. Any insight would be greatly appreciated.
 


I report all my shit. Unless you want the CRA to go into your bank account and take whatever they feel you owe them I suggest you do the same. And yes, they can do that.
 
They can and will look at your bank accounts and if they see you taking out $5,000 every month, yet claiming $10,000 in annual earnings, well, you're in deep trouble.

Once you start making serious money, you're best to incorporate and keep more of that money for yourself. Even a 20% reduction in taxes payable is a huge savings.
 
TruthsAreUs said:
Hey everyone,

Just curious how many of you Canadians out there claim your affiliate/AdSense/Etc... income on your taxes?? I know once you hit a certain income level it's a no-brainer, but at what $ point do you start claiming?

This is my first year making any money online, so I'm totally new to this part of the business. Any insight would be greatly appreciated.
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Fill out a T2032, statement of professional activities. Follow it, because it also has the stuff you're allowed to deduct, such as a % of mortgage, rent, heat, etc. If you use a tax program it'll walk you through that.

There's no minimum level at which you have to pay taxes. If this is a legitimate attempt to make money anyway, you can carry forward losses anyway.

Sean
 
To add to what I said a friend of mine apparently forgot to file his taxes last year. Not sure how that happened exactly (some mix up with the accountant or whatever) and they took out a few grand from his bank account.
 
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