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New Member
posted Oct 29, 2019 11:24:09 PM

Self-Employed with an Unincorporated/Unregistered Business: Is this considered a "Permanent Business" or not?

I am in the process of completing a T2125 with Turbotax online and have got to the "Location of your business" section where it is asking for my province, but only if I have a permanent business set up there.

I came across a similar question and the answer provided a link to an archived CRA publication entitled "Permanent Establishment of a Corporation in a Province", which still leaves me somewhat unclear as I am a self-employed sole proprietor with an unincorporated and unregistered business. The publication provided by the CRA mentioned here mainly refers to corporations, so I do not know if any of this information would apply in my situation or not.

Also, if I do not select a province and continue with the return, the "Review" section comes up with an error stating "Missing province of self-employment." (image of the error screen attached below).

I have done some more research on the definition of "permanent business" or "permanent establishment" as described in other articles, and it seems as if there is a more general set of conditions to determine whether or not a self-employed individual is considered to be conducting business as a "Permanent Establishment". This information seems to imply that since I conduct most of my business from a fixed home office, and all of my business from within Ontario, I am still considered to have a permanent business establishment, regardless of whether or not I have a registered business.

I may have just answered my own question, but I would still appreciate it if anyone can confirm that this is correct.

Simply put, the question is this: As a self-employed sole proprietor working from a home office in Ontario under my own name without a registered business, would I be considered to have a "permanent business" or "permanent establishment"?


Thank you.










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1 Best answer
New Member
Oct 29, 2019 11:24:11 PM

You did answer your own question. Ontario is where you live and do business. 

3 Replies
New Member
Oct 29, 2019 11:24:11 PM

You did answer your own question. Ontario is where you live and do business. 

New Member
Oct 29, 2019 11:24:12 PM

If I used to live in Quebec where I earned my self employment income but now live in Ontario (as at December 31 2018). Which address do I put? CRA does not seem to be accepting the Quebec address since I’m filing under Ontario as it’s my province of residence at the end of the year. May I get assistance on this matter?

New Member
Oct 29, 2019 11:24:13 PM

I have the same issues (BC to Ontario) - any luck?