OTTAWA, April 4, 2019 /CNW/ -
What is the sharing economy?
The sharing economy connects individuals or businesses that are looking for a particular product or service to those that have it. Sharing economy arrangements are generally booked using online platforms through a third party, using a website or a software application.
Do you earn income from the sharing economy?
The sharing economy can take a variety of forms, such as:
- accommodation sharing: renting out homes, rooms, cottages
- transportation: ride-sharing, rentals of bikes, boats
- space rentals: gardens, desks, workspaces, laboratories
- making and selling goods: household goods, jewelry, beauty products, food, meals
- providing services: esthetics services, animal care, freelance professional expertise
What are your tax obligations?
- If you earn any income through the sharing economy, it is subject to the same taxation and GST/HST rules that apply to income earned from a property or business.
- All income earned through the sharing economy must be reported on tax returns.
- Taxpayers who earn more than $30,000 through the sharing economy need to register for a GST/HST account.
- If you are earning money from ride-sharing platforms, you must register for a GST/HST account, regardless of whether you earn more than $30,000 annually.
To learn more about your tax obligations, visit Sharing Economy.
SOURCE Canada Revenue Agency
For further information: Media Relations, Canada Revenue Agency, 613-948-8366, firstname.lastname@example.org