I’m on disability and other than disability payments I have no other source of income.
This year I started playing a musical instrument on the streets for tips and made about $3000 CDN over the summer and fall. I also made $600 from several gigs I was hired to play at.
I entered this information in TurboTax under “Tips, Gratuities, and other employment income” and TurboTax is telling me I will get a $900 refund courtesy of the Canada Workers Benefit.
I told my family and everyone I asked told me not to report it as the government could conceivably come after me and want that money back with interest because it’s not a proper job and they are worried that I don’t actually qualify for that money.
So I want to ask the tax experts: can I safely report that $3000 tip income and receive the $900 refund without worrying about potential penalties?
