Part 3A - Business income

Fill in this part only if you have business income. If you have professional income, leave this part blank and fill in Part 3B. If you have both business and professional income, you have to fill in a separate Form T2125 for each.

If you have self-employed commission income, we treat it as part of your business income. Include your commission income in amount 1 of Part 3A. Make a note for yourself for how much commission income you include in amount 1. You will need to know the gross and net commission income to enter in your income tax return.

Gross sales, commissions, or fees

Your sales include all sales, whether you received or will receive money, services, or other goods that have bartering or monetary value (such as credit units). Bartering is when two people agree to exchange goods or services without using money. For more information, go to Interpretation Bulletin IT-490, Barter Transactions.

At amount 1, enter the gross sales, commissions, or fees (including GST/HST, collected or collectible).

At amount 2, enter any GST/HST, provincial sales tax, returns, allowances, discounts and GST/HST adjustments (included on amount 1).

Note

If you are using the quick method of accounting to calculate your GST/HST remittances, calculate government assistance as follows:

  • At amount 4, enter GST/HST collected or collectible on sales, commissions and fees.
  • For each applicable remittance rate, include the sales, commissions and fees eligible for the quick method plus GST/HST collected or collectible. Multiply this amount by the quick method remittance rate and enter the result on amount 5. This is the amount you enter on line 105 of your GST/HST return (or line 103 if you are filing your GST/HST return on paper).
  • The subtotal at amount 6 is amount 4 minus amount 5.

For more information on the quick method and examples, go to guide RC4058, Quick Method of Accounting for GST/HST.

Adjusted gross sales - Amount 7

Amount 7 (Adjusted gross sales) is the total of amount 3 plus amount 6.

Enter your sales, commissions, and fees minus any GST and PST, or HST, and any returns, allowances, and discounts, if these have been included in your sales.

Enter this amount on line 8000 – Adjusted gross sales or adjusted professional fees, in Part 3C of Form T2125.

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