I issued an invoice for consultant work completed for Dec 2024 on December 20, 2024. I don't get paid until the following month so I received payment Jan 31, 2025 and then paid 30% for taxes to CRA. Can I claim that tax payment as it was related to 2024 income? The same would go for the associated HST that I had to pay at the time.
You will report that income for 2025 rather than 2024 since the payment was received in that year.
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