Comments on: Barter Economy http://marketingworkshops.ca/wordpress/2009/05/12/barter-economy/ by Vancouver Marketing Consultant and Small Business Coach Gregor Anton Fri, 03 Sep 2010 11:39:31 -0700 hourly 1 http://wordpress.org/?v=abc By: Gregor Anton http://marketingworkshops.ca/wordpress/2009/05/12/barter-economy/comment-page-1/#comment-45 Gregor Anton Wed, 13 May 2009 01:22:46 +0000 http://marketingworkshops.ca/wordpress/?p=283#comment-45 Very well put! Very well put!

]]> By: Nelson Guedes http://marketingworkshops.ca/wordpress/2009/05/12/barter-economy/comment-page-1/#comment-44 Nelson Guedes Wed, 13 May 2009 01:16:18 +0000 http://marketingworkshops.ca/wordpress/?p=283#comment-44 I agree with a lot of that, with the exception of the accounting implications. Be careful with that Gregor, you don't want any liabilities. Unfortunately, the government treats barter transactions the same way as any other transactions. If you barter within a network, you must keep track of barter credits and debits. Your barter credits are a form of income. They need to be accounted for and taxes need to be paid. Your debits function just like deductions, which can be used to offset your barter income. When the transaction involves a direct exchange of products and services, the fair market value of those services are considered to be the same. Therefore, while the transaction includes an income and an expense, they cancel each other and there are no tax implications - though you still have to account for it.... Read More For more information you may check: IT-490: http://www.cra-arc.gc.ca/E/pub/tp/it490/it490-e.html NOTICE 172: http://www.cra-arc.gc.ca/E/pub/gi/notice172/notice172-e.pdf I agree with a lot of that, with the exception of the accounting implications. Be careful with that Gregor, you don’t want any liabilities.

Unfortunately, the government treats barter transactions the same way as any other transactions. If you barter within a network, you must keep track of barter credits and debits. Your barter credits are a form of income. They need to be accounted for and taxes need to be paid. Your debits function just like deductions, which can be used to offset your barter income.

When the transaction involves a direct exchange of products and services, the fair market value of those services are considered to be the same. Therefore, while the transaction includes an income and an expense, they cancel each other and there are no tax implications – though you still have to account for it…. Read More

For more information you may check:
IT-490: http://www.cra-arc.gc.ca/E/pub/tp/it490/it490-e.html
NOTICE 172: http://www.cra-arc.gc.ca/E/pub/gi/notice172/notice172-e.pdf

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