Canadian creators on platforms like OnlyFans, Fansly, Twitch, and Patreon face complex tax obligations, including GST/HST registration, Form T2125 for self-employment income, and year-end preparation to meet Canada Revenue Agency (CRA) requirements in 2025. This guide provides a comprehensive compliance checklist for creators, covering monthly closes, audit trails, filing deadlines, and documentation for T2125 (Statement of Business or Professional Activities). It ensures stress-free year-end prep with actionable steps for income, expenses, capital cost allowance (CCA), and home-office calculations. Proper use of QuickBooks Online (QBO) and retention of records are critical to avoid penalties. You always need a professional like 786 Venture CPA to manage your taxes as an influencer.
TL;DR
- Do Monthly Closes, Maintain Audit Trail, Calendar Filing Dates: Reconcile income and expenses monthly, keep six-year records, and track GST/HST and T2125 deadlines. CRA Recordkeeping Guide.
- Keep T2125 Support: Document income (e.g., platform CSVs), expenses (e.g., equipment, internet), CCA (e.g., cameras), and home-office calculations (e.g., square footage). Use TaxTips.ca GST/HST Guide for rates.
Compliance Checklist for Canadian Creators
Below is a detailed checklist to ensure GST/HST compliance, accurate T2125 filing, and year-end readiness. It covers creators in provinces like Alberta (5% GST), Ontario (13% HST), and Quebec (5% GST + 9.975% QST).
1. Monthly Closes
- Action: Reconcile platform payouts (e.g., OnlyFans, Twitch) with bank deposits in QBO. Record gross revenue, platform fees (e.g., 20% for Patreon), and taxes collected. Convert USD to CAD using Bank of Canada exchange rates (e.g., $1,000 USD at 1.4 CAD/USD = $1,400 CAD).
- Example: A Twitch streamer in Ontario receives $1,000 USD ($1,400 CAD) after a 20% fee ($200 USD). Record $1,000 USD revenue, $200 USD fee, and $1,400 CAD deposit in QBO. Note $130 HST on $1,000 CAD from Ontario subscribers.
- Documentation: Save platform CSVs, bank statements, and QBO Reconciliation Reports monthly.
2. GST/HST Compliance
- Action: Register for GST/HST if worldwide taxable supplies exceed $30,000 in four quarters, including zero-rated international sales. File returns via CRA NETFILE (monthly, quarterly, or annually). Quebec creators file GST/QST with Revenu Québec.
- Example: A Patreon creator earns $20,000 CAD from Canadian subscribers and $15,000 CAD from U.S. subscribers ($10,000 USD at 1.5 CAD/USD). Total $35,000 triggers registration. Report $2,600 HST on $20,000 Ontario revenue.
- Documentation: Save CSVs showing subscriber locations and taxes (e.g., 13% HST for Ontario). Claim ITCs on expenses (e.g., $130 ITC on $1,000 Ontario camera, 13% HST).
3. T2125 Preparation
- Action: Complete Form T2125 for self-employment income on your T1 return, due April 30, 2026, for 2025 income. Report gross income, expenses, CCA, and home-office deductions.
- Example: An OnlyFans creator reports $50,000 CAD gross income, $10,000 expenses (e.g., $5,000 software, $5,000 marketing), and $2,000 CCA (20% on $10,000 camera). Net income: $38,000.
- Documentation: Save receipts, invoices, and QBO Profit and Loss reports.
4. Income Tracking
- Action: Record all income (subscriptions, tips, bundles) from platform CSVs. Include zero-rated international sales (e.g., $100 USD Patreon pledge = $140 CAD) toward the $30,000 threshold.
- Example: A Fansly creator in Alberta records $500 CAD subscription (5% GST = $25) and $200 USD U.S. tip ($280 CAD, zero-rated). Total $780 CAD toward threshold.
- Documentation: Save platform CSVs and bank statements showing deposits.
5. Expense Tracking
- Action: Categorize expenses in QBO (e.g., equipment, internet, marketing). Prorate personal use (e.g., 50% business use for $100 internet = $50 deduction). Claim ITCs if registered.
- Example: A Quebec creator deducts $600 CAD software (5% GST = $30, 9.975% QST = $59.85) and claims $30 ITC + $59.85 ITR. Record as “Software Expense” in QBO.
- Documentation: Save receipts and logs noting business use (e.g., “$600 software, 100% for Twitch streaming”).
6. Capital Cost Allowance (CCA)
- Action: Claim CCA on depreciable assets (e.g., 20% for Class 8 equipment like cameras). Calculate on T2125 using CRA’s CCA tables.
- Example: A $5,000 computer (Class 50, 55% CCA) yields $2,750 deduction in year one. Record in QBO as “CCA – Equipment.”
- Documentation: Save purchase receipts and CCA calculations.
7. Home-Office Calculations
- Action: Deduct a portion of rent, utilities, or maintenance based on business use (e.g., 10% of 1,000 sq ft home = 100 sq ft office). Report on T2125.
- Example: An Ontario creator with a $2,000/month rent (10% business use) deducts $200/month ($2,400/year). Claim $26 ITC on $200 utilities (13% HST).
- Documentation: Save lease agreements, utility bills, and a floor plan.
8. Audit Trail and Recordkeeping
- Action: Maintain records for six years, including CSVs, bank statements, receipts, FX screenshots, and QBO reports. Note business purpose (e.g., “$1,000 camera for Patreon videos”).
- Example: Save Twitch CSV showing $500 CAD Bits, bank statement for $700 CAD deposit ($500 USD at 1.4 CAD/USD), and Bank of Canada rate screenshot.
- Documentation: Export QBO’s Sales by Customer and Reconciliation Reports.
9. Calendar Filing Dates
- Action: Mark deadlines: GST/HST returns (monthly/quarterly, due one month after period end), T2125 with T1 (April 30, 2026, for 2025). Late filing incurs 1% monthly penalties + interest.
- Example: A quarterly GST/HST filer submits by April 30, 2026, for Q1 2025 (January–March). Use QBO’s Tax Center to track.
- Documentation: Save filed GST34-2 forms and T2125 copies.
Book a 15-minute Creator Tax Check in Calgary with 786 Venture CPA: Contact Us. Stay compliant and focus on creating.
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