Etsy & Handmade · Edmonton
Craft market vendor taxes in Alberta, table by table.
Selling at Christmas markets and craft fairs is real income, even when it's a side hustle. Here's how Alberta makers handle cash sales, GST, booth fees and their tax return.
By the Plum team- Updated Oct 2026
- 7 min read
- Regular market sales with a profit motive are business income, reported on the T2125.
- Cash sales count. Log every market day.
- GST only applies once you register, which is required past $30,000.
- Table fees, materials, packaging and mileage to markets are deductible.
- Count your leftover stock at year end.
Every fall, tables fill up across Edmonton with candles, pottery, prints, knits and jewellery. For many makers, those weekends are the biggest sales of the year. And that raises a question most people would rather not think about until April: craft market vendor taxes in Alberta. What do you report, do you need to charge GST, and what can you write off?
This guide covers it all in plain English, whether you sell at markets in Old Strathcona, St. Albert, Sherwood Park or Spruce Grove, or combine markets with an online shop.
1Hobby or business?
CRA doesn't have a dollar cutoff for when a hobby becomes a business. It looks at how you operate. If you make things to sell, set prices with profit in mind, sell regularly and promote what you do, it's a business. If you knit for fun and once sold three scarves to a neighbour, it probably isn't.
Treating it as a business has an upside: your expenses become deductible, and a loss in a startup year can generally offset other income, as long as you're genuinely trying to make a profit. The flip side is that your profit is taxable, and you pay CPP on it too.
2Craft market vendor taxes in Alberta: reporting your income
As a sole proprietor, you report your market business on form T2125, Statement of Business or Professional Activities, filed with your personal return. Your profit is added to your other income, such as a day job, and taxed at your personal rates. You also pay both halves of CPP on that profit.
Here's a worked example. Say you make candles in Spruce Grove and sell at fall markets plus a small online shop:
| Item | Amount |
|---|---|
| Market sales (card and cash) | $11,500 |
| Online sales | $2,500 |
| Total sales | $14,000 |
| Cost of goods sold (wax, wicks, jars, scent, used in what sold) | $3,800 |
| Table and booth fees | $1,400 |
| Packaging and labels | $600 |
| Display tables, signage, tent (small items) | $450 |
| Card reader fees | $240 |
| Vehicle costs, business share from a mileage log | $520 |
| Website and marketing | $490 |
| Net profit on the T2125 | $6,500 |
That $6,500 is added to your other income. If your day job already uses up the lower tax brackets, set aside a meaningful share of it for income tax and CPP. Self-employed tax is due April 30, even though the return itself isn't due until June 15.
A simple market-day record
For each market, note the date and location, your booth fee, your opening cash float, the cash in the box at close, card sales from your reader's report, and anything you gave away or traded. Your cash sales are closing cash minus the float. It takes five minutes after you pack up, and it turns a pile of scribbled notes into numbers you or your bookkeeper can actually use.
While you're at it, check whether your municipality requires a business licence for a home-based business or for selling at markets. Rules differ between Edmonton and surrounding towns, so confirm with the city or town where you make and sell.
3Do craft market vendors charge GST?
Not until you're registered. You must register for GST when your taxable sales pass $30,000 over four consecutive calendar quarters, or in a single quarter. Markets and online shops count together. A strong October to December can push you over faster than you'd expect.
Once registered, you charge 5% on Alberta sales and can claim back GST on your supplies, booth fees and equipment. At a market, you can price items with GST included as long as you make that clear, for example with a small "prices include GST" sign. Then back the GST out of your totals using 5/105. Our GST registration guide explains the threshold and what to do the week you cross it.
4Deductions for market vendors
- Materials and supplies used in what you sold, through cost of goods sold
- Table, booth and jury fees, and market applications
- Packaging: bags, boxes, tissue, labels and stickers
- Display gear: tables, risers, lights, signage and tents (bigger items over time through capital cost allowance)
- Payment fees from card readers and online platforms
- Vehicle costs for trips to markets and suppliers, backed by a mileage log
- Workspace in your home, if you meet CRA's home office tests
- Marketing: website, social ads, business cards, photography
Our guide to self-employed tax deductions in Alberta covers the wider list, including the home office rules.
Leftover stock at year end
Materials you bought but didn't use, and finished pieces you didn't sell, aren't expenses yet. Count what's left at December 31 and value it at cost. That inventory carries into next year and becomes an expense when it sells. For makers who stock up in the fall, this can make a big difference to the year's profit.
5Your market season checklist
6Common mistakes makers make
Not counting cash. Incomplete sales records are the first thing a CRA review looks for.
Forgetting online sales count toward GST. The $30,000 test includes every channel.
Expensing every supply purchase. Big fall stock-ups belong partly in inventory.
No tax savings. The first April after a busy season can be a shock without money set aside.
If you also sell online, our guide to Etsy seller taxes in Canada covers platform fees and payouts. And if you'd like someone to keep it all straight, Plum works with makers and market vendors across Edmonton, St. Albert, Sherwood Park and Spruce Grove. Book a free 15-minute call before the next market season starts.
7Questions people ask
Do I have to pay tax on craft fair sales in Alberta?
If you're selling with the aim of making a profit, yes. Your sales minus your costs is business income, reported on form T2125 with your personal tax return. Alberta has no PST, so the only sales tax to think about is GST.
Do craft market vendors need to charge GST?
Only once you're registered. You must register when your taxable sales pass $30,000 over four consecutive calendar quarters, or in a single quarter. Below that, registration is optional.
Can I deduct my craft market table fees?
Yes. Booth and table fees, market applications and jury fees are business expenses. Save the confirmation or invoice for each market.
Is my craft business a hobby or a business for tax?
If you sell regularly, set prices to make a profit and run it in a businesslike way, CRA will generally treat it as a business. An occasional sale of something you made for fun is different. If you're unsure, talk to an accountant.
Do I need to report cash sales at markets?
Yes. Cash sales are income just like card sales. Write up a simple daily sales record for each market so your total sales are complete and you can show how you got them.
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Book a free 15-min callThis article is general information for Alberta businesses and isn't tax or legal advice. Rules and thresholds change, so confirm your situation with your accountant or CRA.