T2125: Statement of Business or Professional Activities
Form T2125 is the statement self-employed people use to report business or professional income and expenses on their income tax and benefit return.
This is the genuine CRA PDF, unmodified. Source: CRA official page.
What is T2125?
T2125, Statement of Business or Professional Activities, is used to report either business income or professional income and to calculate the net income from self-employment. It combined the earlier T2124 and T2032 statements into one form and covers sales, cost of goods sold, business expenses, home-office costs, and capital cost allowance.
This is a dynamic (XFA) PDF designed for Adobe Acrobat Reader and will not fill in a web browser or a basic PDF viewer. Download it and open it in the free Adobe Acrobat Reader. The net income calculated here is carried to your T1 return.
Who files T2125?
- Sole proprietors reporting income and expenses from a business
- Self-employed professionals reporting professional income
- Members of a partnership reporting their share of business or professional income
- Gig and freelance workers reporting self-employment income to the CRA
How to fill out T2125
- Download the T2125 and open it in the free Adobe Acrobat Reader; it will not fill in a browser.
- Enter your business or professional identification details and reporting period.
- Report your income, including sales, fees, and other business receipts.
- List your expenses, home-office costs, and capital cost allowance.
- Carry the net income to your T1 return and file it with the CRA.
Get T2125
This is a dynamic PDF from CRA: it only fills in correctly in Adobe Acrobat Reader, so there is no in-browser fill here. Download the genuine T2125 below and open it in the free Adobe Acrobat Reader to complete and save it.
Download the official T2125 PDFFrequently asked questions
What is the difference between business and professional income?
Business income comes from a trade or commercial activity, while professional income comes from a profession, such as accounting or law, and may involve work in progress. The T2125 has separate areas for each; use the one that fits your work.
Does the T2125 file on its own?
No. It supports your personal return. You calculate the net self-employment income on the T2125 and report that amount on your T1 return filed with the CRA.