You should complete this part only if you have business income. If you have professional income, leave this part blank and complete Part 2. If you have both business and professional income, you have to complete a separate Form T2125, Statement of Business or Professional Activities, for each.

• Line 1 - Sales, commissions, or fees
• Line 7 - Adjusted gross sales

Line 1 - Sales, commissions, or fees

Your sales include all sales, whether you receive or will receive money, something the same as money (such as credit units that have a notional monetary value), or something from bartering. Bartering occurs when two people agree to exchange goods or services without using money. For more information on bartering, see Interpretation Bulletin IT-490, Barter Transactions.

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

On line 2 enter any GST/HST, provincial sales tax, returns, allowances, discounts included in sales, and GST/HST adjustments (included on line 1). Line 3 is the total of line 1 minus line 2.

For more information on the quick method and examples of how it works, see Guide RC4058, Quick Method of Accounting for GST/HST.

If you are a self-employed commission salesperson, enter the commissions you received on this line.

Line 7 - Adjusted gross sales

Line 7 is the total of the amounts from line 3 plus line 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 3 of Form T2125.

Forms and publications

• Guide RC4058, Quick Method of Accounting for GST/HST
• Guide T4002, Business and Professional Income
• Form T2125, Statement of Business or Professional Activities
• Form GST34, Goods and Services Tax/Harmonized Sales Tax Return for Registrants
• Interpretation Bulletin IT-490, Barter Transactions