Earned Income Definition

ADD:

  • Net income from an office or employment
  • Net income from self-employment Employee profit-sharing plan allocations
  • Disability benefits received from the Canada or Quebec Pension Plan
  • Supplementary unemployment benefits – not regular EI benefits
  • Royalties from any work or invention you created
  • Research grants, net of certain related expenses
  • Net rental income from real property
  • Canadian-source business or employment income earned while non-resident
  • Alimony and maintenance payments received

SUBTRACT:

  • Union and professional dues, and deductible employment-related expenses
  • Refunds of salary, wages, and research grants
  • Current-year net rental losses on real property
  • Current-year losses from running a business
  • Deductible alimony and maintenance payments.