Are you participating in the sharing economy? Are you selling goods on Kijiji, driving for Uber or renting your home on Air BNB? Everyone should be reporting their income but they don’t always. But without reporting your income, you also can’t take advantage of the potential tax credits/deductions available to you. Say for example, you rent your house on Air BNB – you’re treating it like a business but not claiming the income you generate.
According to statistics Canada, 69000 Canadians rent out some or all space in their home in some kind of peer to peer network, for example but there is generally a lack of knowledge about who needs to declare income.
As a general rule, income you generate from any endeavour should be reported.
Companies like Uber can and do provide reports to their drivers about the income earned. That also means that you can take advantage of the fees you pay to them, mileage, etc but many people are not taking advantage of that opportunity.
You can rent your home in partial on entirety on Air BNB but you can’t write off your home expenses unless you’re declaring that income. For some, that’s a missed opportunity.
Are you selling goods on Kijiji? There are rules about that and you should know them.
Bottom line: Get good help. Call our office.