Filing Taxes for Affiliate Accounts

[CBD Magic]

We need some assistance or guidance on how we should be handling the taxes of our affiliates.

We are in Canada and I believe we must provide them T4A's.

Do I have to get their SIN? Full legal name? Home address?

Any information will help greatly, thanks!

 

[T J Tutor]

For any affiliate in the U.S. we need a W-9 from them, and we will issue a 1099 to them.

For any affiliate outside the U.S., the affiliate must provide us W-8, and we are not required to send anything in return.

I am sure Canada has similar practices. My understanding is they must provide you with a Form TD1, and you would send them a T4A.

 

[CBD Magic]

Thanks a lot!

I was reading that you can put any commissions as COGS or SG&A.

Would it also be possible to get invoices from affiliate members to show this as an expense?

Or will we absolutely have to issue T4A's?

 

[Graybeard]

Why don't you just ask your accountant?
That's a lot cheaper than a tax audit.

 

[CBD Magic]

Thanks guys!

My accountant got it sorted it. Cheers.