Regarding Govt Grant received by a Physician in Nova Scotia

I have a client who has a Govt Grant from Electronics Medical Records Funding for 5300 dollars. Can someone tell me where to put this amount - I have looked into the T2125 - Statement of Business or Professional Activities section, but do not see any such provision. Am I missing something in this regard. Thank you for your help!

Answer

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Did your client get a T4A for that amount? Usually an such an amount would go on a T4A:

If it's Box 48 that would populate Part 1 or 2 of the T2125

If it's Box 28 that would populate Line 130 on the T1

If it's Box 104 that would populate Line 104 on the T1

If it's not on a T slip of any kind then it should be reported as business or professional income T2125 (Part 1 or 2)

At first it appears better from a tax point-of-view if it's reported on Line 130 or 104 but on a T2125 you may also deduct reasonable amounts related to earning that income. 

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