Income from websites
Corporations must file Schedule 88 if they earned income from one or more webpages or websites. According to the schedule, income from webpages or websites includes:
- The sale of goods or services through a website that includes the processing of payment transactions online
- The sale of goods or services through a website that requires customers to call, complete and submit a form, or send an e-mail to make a purchase, order, booking or other transaction
- The sale of goods or services through an auction, marketplace, or similar website operated by others
- Income from advertising, income programs or traffic the site generates.
Schedule 88 also applies to corporations that earn income through a profile or other page that describes the business on blogs, auctions, market places, portals or directories.
Taxpayers must report the following information on Schedule 88:
- The number of income generating webpages or websites
- The URL addresses of the top five income generating webpages or websites
- The percentage of gross revenue generated from the Internet out of total gross revenue.
For more information, contact your KPMG adviser.
Information is current to December 10, 2013. The information contained in this publication is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavour to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act upon such information without appropriate professional advice after a thorough examination of the particular situation. For more information, contact KPMG's National Tax Centre at 416.777.8500