If a business uses crowd funding as a source to raise capital in the form of an investment for growth, would the funds be considered gifts, equity, loans, or business income, pursuant to the CRA and why should a business be weary when crowd funding leads to capital usually spent on paying expenses, as opposed to raising profit?

Answer rating: 100% (QA)

In Canada the tax treatment of funds raised through crowdfunding can vary based on the nature of the crowdfunding campaign and the agreement between t... View the full answer