What is line 13500 on the tax return

What is the T1 general form?

The Income Tax and Benefit Return is another name for the T1 General Form. It is the form that Canadians use to submit their income taxes.

The form, which includes your provincial or territorial tax (with the exception of Quebec), total income, net income, tax due, deductions, non-refundable credits, and more, is a summary of all the other forms you fill out for your income taxes. This form is used to apply for benefits like the Canada Child Benefit or refundable credits like the GST/HST tax credit when you submit your taxes.

What is line 13500 on the tax return?

Line 13500 on the tax return is also known as business income. For the 2019 tax year and thereafter, line 13500 took the place of line 135. For the tax year, it details any self-employment income. After the CRA added many zeros to the T1 General form, line 13500 changed from 135 to 13500.

Your business income is shown on line 13500 of your tax return. Anything you make from a profession, a trade, a manufacture, or an endeavour of any type, an adventure or concern in the nature of commerce, or any other activity you engage in for profit is considered to fall under this category. It's crucial to understand that your business income differs from your employment income. While employment income refers to payments received from an employer, business revenue is taken into account when considering self-employment.

Where on My Tax Return Is Line 13500?

Line 13500 of the T1 general's Total Income section is where all sources of income are listed. It's about three-quarters of the way down the second page of your return. On line 13500, not all self-employment revenue is recorded. Some unusual businesses now have their own distinct line with the CRA.

If I Don't Report My Business, What Happens?

Penalties may apply if you fail to disclose your business income to the Canadian Revenue Agency. Penalties can be as high as 50% of the amount you failed to declare, up to a maximum of 10%. Your greatest chance of avoiding such fines is to be open and truthful. Penalties may occasionally be mitigated in exchange for honesty and voluntary reporting of omissions.

You must complete Lines 13500 to 14300 on your income tax returns if you are an employer-free business owner or operate your firm (formerly Lines 135-143). Serious fines might be imposed if this is not done.

Key points 

The key point of what is on line 13500 of the tax return is that the Income Tax and Benefit Return is another name for the T1 General Form. It is the form that Canadians use to submit their income taxes. Line 13500 on the tax return is also known as business income. For the 2019 tax year, it details any self-employment income. It's crucial to understand that your business income differs from your employment income. Moreover, certain unusual business types have their own line with the CRA. Penalties range from 10% to a maximum of 50% of the amount you failed to declare.

Written By:
Salman Rundhawa
Salman Rundhawa is the founder of Filing Taxes. Salman provides valuable tax planning, accounting, and income tax preparation services in Toronto, Mississauga, Oakville, and Hamilton.

Leave a Reply

Your email address will not be published. Required fields are marked *

April 12, 2025
Reflecting on Tax Season: How an Accountant Can Help You Prepare Better for Next Year

Tax season often comes with a mix of stress, deadlines, and last-minute document gathering. Whether you filed early or raced to the finish line, now is the perfect time to pause, reflect, and plan for next year—with the help of a trusted accountant in Toronto. Using tax season as a learning experience can improve your […]

Read More
April 12, 2025
Tax Planning Strategies for Canadian Startups and New Businesses

Smart tax planning can help prevent that nasty shock of owing taxes way more than expected when the tax season hits. Understanding the Canadian Tax Landscape for Startups Canada's tax system can seem tough. It's important to know how it impacts new businesses. It affects everything you do, from choosing your business structure to managing […]

Read More
March 27, 2025
The Impact of the Federal Carbon Tax on Canadian Businesses

The federal carbon tax, officially known as the Fuel Charge under the Greenhouse Gas Pollution Pricing Act, is a critical component of Canada’s climate policy. The implementation of the Federal Carbon Tax in Canada has generated significant interest and concern among businesses across the country. Designed to reduce greenhouse gas emissions and combat climate change, […]

Read More
1 2 3 70
Contact Form Demo

This will close in 0 seconds

phone-handsetchevron-down Call Now linkedin facebook pinterest youtube rss twitter instagram facebook-blank rss-blank linkedin-blank pinterest youtube twitter instagram