I have a client that logged their own property. Can they claim the logging revenue & expenses on a farming statement?

They have completed the necessary forms for the Ministry of Finance - just curious if we can pick the expenses up on the T1.


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Typically, any expenses incurred to "earn Income" (or reduce expenses) is deductible from income;  unless the income is from illegal activities. 

You did not specify whether the activity is related to the farming (i.e. clearing a woodlot so that it can be farmed), or if it is just a few trees cleared for income generation (or otherwise), so whether it is considered farming income might be a matter of opinion.  I am not sure what constitutes "Tree Farming" (one of the types of income listed as "farming Income" on CRA's website). 


It may be worthwhile to consult an accountant familiar with case law surrounding farming income as to whether this qualifies as Tree Farming.

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