Based on the Act, technical interpretations and the jurisprudence, it is difficult to ascertain what constitutes a business. Could CRA provide guidance on its interpretation of “business”?
After indicating that the s. 248(1) definition of business was “intended to clarify and extend the ordinary meaning of the word ‘business’," CRA stated:
… Stewart considered how to determine whether or not there is income from a source for the purpose of section 9. In that context, it provided guidance that can also be used to determine whether or not a business exists.
Because Parliament and the courts have given "business" a very broad meaning, the CRA does not intend to give specific guidance.
Ultimately, the question of whether the activities of a taxpayer constitute a "business" remains a question of fact … .