Hey folks, I'm a hobby seller and am filing my taxes as a small business (sole proprietorship) for the first time this year. I'm fairly small beans - ~$4,000 gross, ~2,000 profit. I'm filing online through UFile as I'm a student and it's free. Just wondering if anyone can help me with a couple quick questions:
- I'm asked to fill in the "6-digit code from the North American industry classification system" for my business. I had no idea what this was, but after some googling it seems like the most appropriate one for selling on eBay/Amazon would be "454110 (Electronic Shopping and Mail-Order Houses)" - is that correct?
- For expenses, the CRA clearly breaks it down into a number of distinct categories, as indicated here under "List of Expenses": http://www.cra-arc.gc.ca/tx/bsnss/tpcs/slprtnr/bsnssxpnss/menu-eng.html. Which category would shipping costs be included in (i.e. purchased through PayPal)? The website lists 'stamps' under "Office Expenses", so would that also include PayPal shipping? How about mailing envelopes - would that go under "Supplies"? And finally where do you put eBay/PayPal fees? The only category that seems appropriate is "Business tax, fees, licences, memberships, and subscriptions", unless I made a new category using "Other".
Thanks in advance for your help!
