Canadian Tax Agency Reclassifies Artists As Hobbyists, Disallowing Deductions

“It is the determination of this audit that the taxpayer operates as a personal endeavour (a hobby), not a business,” Canadian Revenue Agency said in its Jan. 26, 2018, reassessment letter to Steve Higgins. “Most of the income generated is from grants, honorariums and awards, and not the sales of artwork. Therefore, all income and expenses related to the business has been removed.”