,canada ,cu/oms                       #a
& ,rev5ue ,ag5cy

          ,9t]pret,n ,bullet9
    
,subject3 ,9come ,tax ,act--
  ,miscellane\s ,receipts
,numb]3 ,,it-#ccd;,r#b
,date3 ,febru>y #ba1 #aiib
,ref];e3 ,sec;n #c 7al sec;n #di1
  subsec;ns #e7#a7 & #f7#c71 p>agraphs
  #f7#a77a71 #ah7#a77h7 & #ed7c7 &!
  def9i;n ( 8prop]ty0 9 subsec;n
  #bdh7#a77

               ,applic,n
    
  ,? bullet9 c.els & replaces ,9t]pret,n
,bullet9 ,,it-#ccd;,r dat$ ,july #cj1
#aihb4

                ,summ>y
    
  ,? bullet9 4cusses ! tax tr1t;t (
v>i\s receipts1 s* z /rike pay1       #a
             ,,it-#ccd;,r#b          a#a
gambl+ w9n+s & =feit$ deposits1 : d n
r1dily -e )9 any (! m usual categories (
receipt4 ,! bullet9 9dicates :e!r or n &
"u :at circum/.es a "picul> type (
receipt is 6be 9clud$ 9 calculat+ 9come
= tax purposes4

          ,4cus.n & ,9t]pret,n
    
                 ,g5]al
    
#a4 ,sec;n #c br+s 969come1 = tax
  purposes1 a taxpay]'s 9come f all
  s\rces &! taxa# por;n ( capital ga9s
  net ( all[a# capital losses4 ,9 a4i;n1
  & )\t re/rict+ ! g5]al;y (! previ\s
  s5t;e1 sec;n #c & v>i\s o!r sec;ns (!
  ,act describe specific s\rces ( 9come
  &! specific rules applica# 9 det]m9+
  taxa# capital ga9s & all[a# capital
  losses4
#b4 ,un.s specific,y exempt$ 0a provi.n
  (! ,act1 a taxpay] w usu,y 2 taxa# 9
  full on all non-capital receipts    #b
             ,,it-#ccd;,r#b          b#a
  f a s\rce :e!r or n ! "picul> s\rce is
  enum]at$ 9 sec;n #c4 ,simil>ly1 un.s
  specific,y exempt$ 0a provi.n (! ,act1
  ! capital ga9 provi.ns apply on !
  4posi;n ( prop]ty t is capital 9
  nature4 8,prop]ty0 is def9$ broadly 9
  subsec;n #bdh7#a7 6m1n prop]ty ( any
  k9d :at"e & 9cludes1 am;g o!r ?+s1 a
  "r ( any k9d :at"e4
--------------------------------------#b
               ,w9dfalls
    
#c4 ,subject 6! -;ts 9 ! curr5t v].n (
  ,,it-#bac1 ,prizes ,f ,lott]y ,s*emes1
  ,pool ,sy/em ,bett+ & ,giveaway
  ,3te/s1 & ^? 9 #d & #aj 2l 3c]n+
  ,volunt>y ,pay;ts & ,gambl+ ,pr(its1 a
  taxpay] 9 receipt ( an am.t : c 2
  describ$ z a 8w9dfall0 is n subject
  6tax on ! am.t4 ,factors 9dicat+ t a
  "picul> receipt is a w9dfall 9clude !
  foll[+3
  7a7 ! taxpay] _h no 5=cea# claim 6!
    pay;t1                            #c
             ,,it-#ccd;,r#b          a#b
  7b7 ! taxpay] made no organiz$ ef=t
    6rcv ! pay;t1
  7c7 ! taxpay] nei s"\ af nor solicit$
    ! pay;t1
  7d7 ! taxpay] _h no cu/om>y or
    specific expect,n 6rcv ! pay;t1
  7e7 ! taxpay] _h no r1son 6expect !
    pay;t wd recur1
  7f7 ! pay;t 0 f a s\rce t is n a
    cu/om>y s\rce ( 9come =! taxpay]1
  7g7 ! pay;t 0 n 9 3sid],n = or 9
    recogni;n ( prop]ty1 s]vices or
    any?+ else provid$ or 6be provid$ 0!
    taxpay]1 &
  7h7 ! pay;t 0 n e>n$ 0! taxpay] z a
    result ( any activ;y or pursuit (
    ga9 c>ri$ on 0! taxpay] & 0 n e>n$ 9
    any o!r mann]4
  
  ,! factors abv >e bas$ on ^? set \ 9 !
  deci.n ( ,! ,que5 v4 ,cranswick1
  7#aihb7 ,,ctc #fi1 #hb ,,dtc #fjgc
  7,f4,c4,a474
                                      #d
        ,gifts & ,o!r ,volunt>y      b#b
                ,pay;ts
    
#d4 ,am.ts rcvd z gifts1 t is1 volunt>y
  transf]s ( r1l or p]sonal prop]ty )\t
  3sid],n1 >e n subject 6tax 9 ! h&s (!
  recipi5t4 ,h["e1 :5 0virtue ( an (fice
  or employ;t a volunt>y pay;t or o!r
  valua# transf] or b5efit is rcvd 0an
  employee f an employ]1 or f "s o!r
  p]son1 ! am.t (! pay;t or ! value (!
  transf] or b5efit is g5],y 9clud$ 9
  9come pursuant 6subsec;n #e7#a7 or
  p>agraph #f7#a77a74 7,see al ! curr5t
  v].n ( ,,it-#dgj1 ,employees' ,fr+e
  ,b5efits47 ,simil>ly1 volunt>y pay;ts
  7or o!r transf]s or b5efits7 rcvd
  0virtue (a profes.n or 0virtue ( c>ry+
  on a busi;s >e taxa# receipts4 ,=
  example1 ": a lawy] 0 reta9$ 6p]=m
  c]ta9 s]vices =! class ;,a %>ehold]s
  (a corpor,n &! class ;,b %>ehold]s
  3sid]$ t ! lawy]'s "w _h b5efit$ !m
  al1 any pay;t made 0! class ;,b
  %>ehold]s 6!                        #e
             ,,it-#ccd;,r#b           #c
  lawy] wd 2 taxa# 9come4 ,? is s
  despite ! fact t "! 0 no 3tract or
  oblig,n 2t ! class ;,b %>ehold]s &!
  lawy] 3c]n+ ? pay;t4 7,"s relat$
  issues >e 4cuss$ 9 ! curr5t v].n (
  ,,it-#dij1 ,b>t] ,transac;ns47

       ,a3umulat$ ,vac,n & ,sick
             ,l1ve ,cr$its
    
#e4 ,pay;ts 9 respect ( a3umulat$ vac,n
  l1ve & sick l1ve >e 3sid]$ 6be 9come f
  an (fice or employ;t & taxa# "u
  subsec;n #e7#a7 9 ! ye> 9 : ! pay;t is
  rcvd4 ,h["e1 z 3firm$ 9 ! case ( ,h>el
  v4 ,,dmr 7,que471 7#aigg7 ,,ctc #dda1
  #gg ,,dtc #edch 7,s4,c4,c471 an am.t
  rcvd ^u or af retire;t 9 respect (
  unus$ sick l1ve cr$its qualifies z a
  retir+ all[.e 7see ! curr5t v].n (
  ,,it-#ccg1 ,retir+ ,all[.es74


                                      #f
        ,9duce;ts ,rcvd 6,*ange      a#c
               ,employ;t
    
#f4 ,:5 an employee rcvs an am.t : is
  9t5d$ z an 9duce;t 6l1ve 8 or h]
  pres5t employ;t & a3ept new employ;t1
  ! pay;t is 9clud$ 9 ! recipi5t's
  9come4 ,subsec;n #f7#c7 w norm,y apply
  69clude 9 9come s* an 9duce;t pd 6an
  employee 0a prospective employ]4
  7,subsec;n #f7#c7 is 4cuss$ 9 ! curr5t
  v].n ( ,,it-#aif1 ,pay;ts 0,employ]
  6,employee47 ,fur!rmore1 reg>d.s ( :o
  pays ! am.t1 any pay;t rcvd 0an
  employee z an 9duce;t 6a3ept new
  employ;t is 3sid]$ 6be =! purpose (
  acquir+ t taxpay]'s exp]i;e &
  capabilities & 6be 0xs nature an 9come
  item2 see ! case ( ,curran v4 ,,mnr1
  7#aiei7 ,,ctc #daf1 #ei ,,dtc #abdg
  7,s4,c4,c471 9 : a pay;t made 0a
  %>ehold] 69duce an 9dividual 6resign a
  manag]ial posi;n & a3ept new employ;t
  0 9clud$ 9 ! 9dividual's 9come4
                                      #g
          ,fees ,rcvd = ,5t]+        b#c
           96,s]vice ,3tracts
    
#g4 ,": a taxpay]'s busi;s 3si/s (1 or
  9cludes1 ! r5d]+ ( s]vices 6p]sons )
  :om s]vice 3tracts h be5 made1 fees
  *>g$ = 5t]+ 96s* 3tracts >e 9come f t
  busi;s4 ,? is n ! case :5 ! am.t rcvd
  is a true deposit t m/ ev5tu,y 2
  return$ 6! depositor4

           ,=feit$ ,deposits
    
#h4 ,a taxpay] 5titl$ 6reta9 a deposit
  ^u ! c.ell,n (a 3tract may r1lize a
  capital ga9 on
--------------------------------------#d
  ! =feiture ": ! taxpay]'s "rs "u !
  3tract >e capital 9 nature4 ,c.ell,n
  (! 3tract 3/itutes a 4posi;n (!
  taxpay]'s "rs "u t 3tract pursuant
  6clause #ed7c77;ii77,b74 ,h["e1 if !
  "rs 4pos$ ( "u ! 3tract >e ( an 9come
  nature1 ! am.t =feit$ w 2 ord9>y 9come
  6! taxpay]4 ,=a 4cus.n (! tax       #h
             ,,it-#ccd;,r#b          a#d
  tr1t;t (a taxpay] :o =feits a deposit1
  see ! curr5t v].n ( ,,it-#dfa1 ,=feit$
  ,deposits4 ,if ! deposit is on a3.t (
  an op;n 6pur*ase1 ! rules ( sec;n #di
  apply 7see ! curr5t v].n ( ,,it-#if1
  ,op;ns ,grant$ 0,corpor,ns 6,acquire
  ,%>es1 ,bonds or ,deb5tures74

           ,nov,n (a ,3tract
    
#i4 ,:5 a taxpay] rcvs an am.t 6a3ept !
  sub/itu;n (a new 3tract = an exi/+ "o
  2t ! same or di6]5t "pies 7nov,n71 "!
  is a 4posi;n (! "rs "u ! =m] 3tract4
  ,9 s* cases1 ! taxpay] w ei r1lize a
  capital ga9 or 2 9 receipt ( ord9>y
  9come4 ,:e!r x is a capital or 9come
  receipt w dep5d on ! nature (! "rs
  4pos$ ( z a result (! nov,n (! 3tract4

            ,gambl+ ,pr(its
    
#aj4 ,pr(its deriv$ f bookmak+ or f !
  op],n ( any gambl+ e/abli%;t        #i
             ,,it-#ccd;,r#b          b#d
  7c>ri$ on leg,y or o!rwise7 3/itute
  9come f a busi;s4 ,9 a4i;n1 an
  9dividual may 2 subject 6tax on 9come
  deriv$ f gambl+ xf1 if ! gambl+
  activities 3/itute c>ry+ on ! busi;s (
  gambl+2 see ! deci.n ( ,,mnr v4
  ,mord51 7#aifa7 ,,ctc #dhd1 #fa ,,dtc
  #abff 7,ex4 ,ct474 ,! issue ( :e!r or
  n an 9dividual's activities >e s* t he
  or %e c 2 3sid]$ 6be c>ry+ on a gambl+
  busi;s is a "q ( fact t c 2 det]m9$
  only 0an exam9,n ( all (! circum/.es
  &! taxpay]'s 5tire c\rse ( 3duct4 ,al?
  no "o factor may 2 3clusive1 ! foll[+
  crit]ia %d 2 3sid]$ 9 mak+ ! det]m9,n3
  7a7 ! degree ( organiz,n t is pres5t 9
    ! pursuit ( ? activ;y 0! taxpay]1
  7b7 ! exi/;e ( special k or 9side
    9=m,n t 5a#s ! taxpay] 6reduce !
    ele;t ( *.e1
  7c7 ! taxpay]'s 9t5;n 6gam# = pl1sure
    z -p>$ ) any 9t5;n 6gam# = pr(it z a
    m1ns ( ga9+ a livelihood1 &
                                     #aj
             ,,it-#ccd;,r#b          c#d
  7d7 ! ext5t (! taxpay]'s gambl+
    activities1 9clud+ ! numb] &
    frequ5cy ( bets4
  
  ,x is cle> f v>i\s deci.ns (! c\rts t
  e>n+s f illegal op],ns or illicit
  busi;ses1 s* z illegal gambl+ &
  fraudul5t busi;s
--------------------------------------#e
  s*emes1 >e n exempt f tax4 7,see =
  example1 ! deci.ns 9 ,! ,que5 v4
  ,poynton1 7#aigb7 ,,ctc #daa1 #gb
  ,,dtc #fcbi 7,ont4 ,c4,a47 & ,,mnr v4
  ,eldridge1 7#aifd7 ,,ctc #ede1 #fd
  ,,dtc #ecch 7,ex4 ,ct4747

                ,ho2ies
    
#aa4 ,9 ord] = any activ;y or pursuit
  6be reg>d$ z a s\rce ( 9come1 "! m/ 2
  a r1sona# expect,n ( pr(it4 ,": s* an
  expect,n does n exi/ 7z is ! case )
  mo/ ho2ies71 nei am.ts rcvd nor
  exp5ses 9curr$ >e 9clud$ 9 !       #aa
             ,,it-#ccd;,r#b          a#e
  9come -put,n = tax purposes & any
  excess ( exp5ses ov] receipts is a
  p]sonal or liv+ exp5se1 ! deduc;n ( :
  is d5i$ 0p>agraph #ah7#a77h74 ,on !
  o!r h&1 if ! ho2y or pas"t results 9
  receipts ( rev5ue 9 excess ( exp5ses1
  t fact is a /r;g 9dic,n t ! ho2y is a
  v5ture ) an expect,n ( pr(it2 if s1 !
  net 9come may 2 taxa# z 9come f a
  busi;s4 ,! curr5t v].n ( ,,it-#ejd1
  ,visual ,>ti/s & ,writ]s1 4cusses !
  3cept ( 8a r1sona# expect,n ( pr(it0 9
  grt] detail4 ,": a ho2y 3si/s (
  collect+ p]sonal-use prop]ty or li/$
  p]sonal prop]ty1 4posi;ns %d 2 a3.t$ =
  z describ$ 9 ! curr5t v].n ( ,,it-
  #ccb1 ,p]sonal-,use ,prop]ty4

        ,union ,memb]s ,assi/.e
    
#ab4 ,a memb] (a union :o is on /rike or
  lock$ \ ne$ n 9clude 9 9come pay;ts (!
  type -monly ref]r$ 6z 8/rike pay0 t >e
  rcvd f 8 or h] union1 ev5 if !     #ab
             ,,it-#ccd;,r#b          b#e
  memb] p]=ms picket+ duties z a
  require;t ( memb]%ip4 ,9 ! deci.n (!
  ,supreme ,c\rt ( ,canada 9 ,w,y ,fries
  v4 ,! ,que51 7#aiij7 #b ,,ctc #dci1
  #ij ,,dtc #fffb1 pay;ts 0way ( /rike
  pay 7 held n 6be 89come f a s\rce04
  ,on ! o!r h&1 pay;ts made 0a union 6xs
  memb]s = s]vices p]=m$ dur+ ! c\rse (a
  /rike >e 9clud$ 9 9come if ! memb] is
  employ$ 0or is a 3sultant 6! union
  :e!r p]man5tly1 z a memb] (a tempor>y
  -mittee or 9 "s o!r capac;y4 ,regul>
  sal>y1 wages & b5efits rcvd 0employees
  ( unions >e subject 6tax 9 ! usual
  mann]4








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