Sharing economy activity tends to increase during the holiday season. Some of these activities include:
- providing ride-sourcing services for a fare
- completing jobs or errands for payment
- renting out a room or a whole house or unit
- renting out a vehicle or a car parking space.
The tax obligations associated with each will vary depending on the activity. Some of the things you may need to consider include:
- declaring income in your tax return
- what income tax deductions and GST credits you can claim for expenses related to earning income and what you can’t claim because of personal use
- how all of your sharing economy earnings added together affect your income tax and GST obligations
- keeping records of your income and expenses to meet your tax obligations.