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[–] 13 points 5 months ago (20 children)

I'm sure it helps. According to the new regulations, even if Apple doesn't pay Sarah, she has to report the flight, hotel and any gifts (at market value) as taxable income. 😂

*The Canada Revenue Agency (CRA) considers trips, free products, and other "gifts" received through brand or platform relationships as barter transactions and taxable business income.

Declaring the Trip as IncomeTaxable Value: The influencer must declare the Fair Market Value (FMV) of the trip (including flights, hotel, and the ticket value) as self-employed business income on their tax return.

No Exemption for Unpaid Work: The fact that the influencer is not paid in cash does not exempt the trip from taxation. The CRA treats non-monetary perks received for your work (e.g., attending an Apple event) the exact same as cash.

Intent Matters: The CRA looks at intent. If the influencer accepts the invitation with the expectation of generating content, building a brand, or engaging with an audience, it is considered business income rather than a personal gift. 😂

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  • [–] [S] 17 points 5 months ago (16 children)

    I don’t think she’s in compliance since she posted this, years ago, on Threads.

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  • [–] 15 points 5 months ago

    There is an address that people can send a letter to the CRA.

    I wonder if she reported the $4,000 bike. Her original free car (the Van), did she pay tax on all the free stuff from her home and cottage reno? Like the new kitchen?

    For every single item she is gifted, every hotel room, every trip to Club Med, Disney, etc., she owes the tax on that item, service, or trip, and she has to pay market value.

    For example, the bike: she owes $535; the Club Med trip: $1,695; and the van: $10,450. The laser facials are $910. A couple of packs of Quickies for $26, a family trip to Disney (min $2, 300), the kitchen $6,500, all the clothing, she owes TAX on it all. ALL OF IT!

    It's always been this way. This is why broadcast and publishing companies don't allow editors, producers or hosts to accept gifts over $300. Gifts under $300 must be approved. Trips must be approved because the companies paid the tax. Beauty products sent to magazines stay in the office, are used for testing or photography, and are then donated to a shelter or sold for donation.

    The few items mentioned that Sarah and Shane received are a drop in the bucket, and they bring their tax owed to $20,721. Sarah is listed on many ranking charts as Canada's #1 influencer. She has posted being gifted all these items. There are clips of her stories where she shows off her freebies.

    She could be a precedent-setting audit. 😂

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  • [–] 13 points 5 months ago (3 children)

    This is interesting. 😂 Does she think that if she says it, it's true?

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  • [–] [S] 10 points 5 months ago (2 children)

    I really think she believes this is true because she was giving advice in an influencer thread. She’s taken an awful lot of no pay trips in the last few years and I would love to know if it’s being declared as income. From the outside it looks like she’s had a lot fewer paying jobs and I wonder how sustainable the business becomes with all the trips. Someone did mention the Club Med DR trip was valued at more than $10,000 without flights. I would like to see all these Influencers audited.

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  • [–] 11 points 5 months ago (10 children)

    AN influencer still owes tax to the CRA if they receive a gift without a contract.

    The Canada Revenue Agency (CRA) views gifts received in exchange for brand promotion or exposure as "barter transactions".

    A formal contract is not required to establish this business relationship.

    Key details of how the CRA handles this:

    The Barter Rule: If you receive goods, services, or PR packages in exchange for an agreement to promote them (or if you simply post about them voluntarily), the CRA treats it as business income.

    Fair Market Value: You must claim the Fair Market Value (FMV) of the gifted item. For example, if you are sent a free $1,500 camera to review, that $1,500 is counted as taxable business income.

    Intent Matters: Genuine, unsolicited personal gifts (e.g., a birthday present from a fan) are generally non-taxable.

    However, if the brand is sending products to you as an influencer to showcase on your platform, the CRA considers it taxable compensation.

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  • [–] 14 points 5 months ago* (9 children)

    Hi snarkers, don't mind all my posts; I want to give you the full CRA picture. Off to my 'big girl' job now. Enjoy your day.

    Think about how influencers have been willfully ignorant about gifts. Compare the influencers' feeds and stories (regarding gifts, trips, and all their bragging) with those of former traditional media personalities and editors. You don't see mass gifting or trips. There are no PR boxes posted. (Except for a few greedy ones.) The rest of the former media are off the "freebee" radar.

    Google AI:

    Did the shift to influencer gifting hurt the traditional media advertising space and reduce tax income for the Canadian government?

    Yes, these losses resulted in a significant net loss of tax revenue for the Canadian government. The rapid shift of advertising dollars away from traditional media companies toward influencers and foreign digital tech platforms directly reduced government revenue in several major areas:

    1. Vanishing Corporate Income Taxes. Traditional Canadian media companies as major TV broadcasters, newspaper chains, and radio stations — historically generated robust taxable profits. As their advertising revenue plummeted (with conventional TV ad revenues down nearly 40%), these companies began posting multi-million dollar losses.

    The Tax Impact: Corporations that operate at a net loss do not pay corporate income tax.

    1. Massive Losses in Payroll and Personal Income Tax Because 74 cents of every advertising dollar now leaves the traditional Canadian media industry, legacy companies were forced to cut costs aggressively. Between 2019 and 2024, the Canadian media sector lost more than 11,000 stable, salaried jobs.

    The Tax Impact: High-paying, structured corporate jobs generate dependable income tax and payroll deductions (like CPP and EI). When these positions disappeared, the federal and provincial governments lost millions in annual personal income tax revenue.

    1. The "Tax Leakage" of the Influencer Economy. While the influencer marketing economy grew rapidly, it did not immediately replace the lost tax revenue. The Canada Revenue Agency (CRA) faced distinct challenges collecting taxes from this new sector:

    The Gift Loophole: For years, many influencers did not realize—or report—that free luxury trips, hotel stays, and gifted products legally count as taxable "non-monetary" business income.

    Foreign Platforms: Much of the ad spend that bypasses local media goes straight to foreign parent companies (such as Meta, Alphabet, and TikTok). Historically, these global tech giants utilized legal tax loopholes to avoid paying Canadian corporate taxes on those revenues.

    1. The Double Hit: Government Subsidies. Not only did the government lose tax revenue, but the crisis also forced them to spend taxpayer money to keep local journalism alive. To prevent the complete collapse of the news sector, the federal government had to introduce hundreds of millions of dollars in media payroll tax credits, subsidies, and aid programs – effectively turning a former tax-generating industry into a tax-funded one.

    If you are interested, we can look into how the CRA is currently auditing influencers to recoup these funds, or explore Canada's new Digital Services Tax aimed at foreign tech platforms.

    *There are newspaper articles from March 2026, as the CRA issued a press release. This times well with the loss of trust in influencers.

    😁

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  • [–] 12 points 5 months ago (7 children)

    So what about alllllll the PR they receive whether it’s shown on their platform or not considered a gift no matter the value… or is it only taxable if it’s shown on their socials? Because they still received merchandise. Should they be returning it if they don’t use it and therefore not have to pay taxes on it?

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  • [–] 10 points 5 months ago (5 children)

    This is the loophole. If something is sent without obligation to post about it, then it is not looked at as barter or a contractual obligation; therefore, they don't have to claim it. I would say a huge portion of the PR she gets falls under this category because brands just send stuff hoping she will say something. But there are very obvious times that you know she is only saying something because she has to, and I guarantee she isn't claiming those.

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  • [–] 11 points 5 months ago* (4 children)

    I think if you post it now, without being under a contract, they have to claim it. The CRA has made changes: The Barter Rule: If you receive goods, services, or PR packages in exchange for an agreement to promote them (or if you simply post about them voluntarily), the CRA treats it as business income.

    What Counts as Taxable vs. Non-Taxable? The CRA distinguishes between items sent for commercial gain and items sent purely out of personal goodwill: Taxable Income: PR packages, free hotel stays, event invites, beauty products, clothing, tech gear, and direct digital tips (like TikTok Live gifts or YouTube Super Chats).

    Non-Taxable Gifts: Genuine, unsolicited personal gifts from followers that have no commercial agreement, marketing expectation, or promotional exchange attached to them.

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  • [–] 7 points 5 months ago (3 children)

    While I get the intention, I don't think this is something they are going to be able to enforce. How will they know these items were sent and not bought because they rarely will say when something has been sent to them, and often pretend they bought it themselves to make it seem more authentic. The CRA still doesn't truly understand the industry, which is why they will continue to get away with stuff. One of my jobs is self-employed freelance writing, which has been around forever, and I don't know how many times I have to try to explain what I do to a CRA agent during tax season, and they still never truly understand.

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  • [–] 5 points 5 months ago* (last edited 5 months ago) (2 children)

    Apparently, the CRA is using AI and looking into top, mega-influencers. #gifted is also a dead giveaway.

    In other news, Mikayla Nogueira is having trouble with the FTC. Look at the warnings on her posts. I wonder if Birdie worries about this stuff? She should!

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  • [–] 9 points 5 months ago*

    Yes, if they KEEP anything, they need to pay the tax on the item's MSRP. In traditional media, when you borrow a product, say for a photoshoot (clothing, furniture, etc.), it goes back. It's not kept.

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