Subcontractors

“If you contract to another business, how do you deal with that on your taxes?”

– Mat Davy, Smiling Dog Gardening and Landscaping, Victoria, B.C.

If you subcontract to another business, and you bill the client for the work they do, this is still part of your income. Make sure you have that subcontractor invoice you so you have the paperwork you need to claim their fees as an expense. If you are working in the trades, discuss who will pay the subcontractor’s WorksafeBC coverage. If they do not have a clearance letter showing that their account is up to date, you must pay for their WorksafeBC coverage.