Gift as income

Hello everyone,

Is Wishtender monetary gift consider as business income or gift? Are there any CRA cases that address this? The person has a social media page and her followers sends his gifts through Wishtender?

I don’t know about court cases but cash equivalents are considered income. It has nothing to do with how the money is collected or even if it is money - barter for instance is income if the services provided are the normal business services for the person but paid for in trade of goods or services other than cash money or near cash equivalents.

As to whether it is a gift or business income depends on the intention of the social media posts. If she’s trying to make money then it’s business income although she would of course be able to deduct costs like maintaining the website if any and probably some internet costs. if she solicits “donations” on her social media for example it’s still business income. If she gets the odd donation here and there and does not ask for them in any way shape or form and it would be less than the costs she could deduct I’d consider it gifts or a hobby business (where you can’t deduct losses against other income) and just leave it out.

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Circumstantially derivative. ie “it depends”.

Read 'em and weep. There’s more, too, but that’s a handy sample.

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Thank you, good information.

Thank you.