If you pay referees, scorekeepers or evening staff (whether self-employed or employees) for sports activities, you may be able to deduct those payments from your income as business expenses.

If the referee, scorekeeper or evening staff member is self-employed, you could be entitled to input tax credits (ITCs) and input tax refunds (ITRs) for taxable services the person provides, if he or she is a registered supplier.

However, if you are the employer of a referee, scorekeeper or evening staff member, you must make source deductions on the person's salary or wages and pay employer contributions. You must also issue your employee an RL-1 slip.

Both the self-employed person and employee must report the income.

For more information on determining whether someone is an employee or self-employed, refer to document IN-301-V, Employee or Self-Employed Person?