In Canada, gifted money is not considered taxable income.
That’s right—if someone gives you money as a gift, you don’t have to pay tax on it. Whether it’s $1,000 from a friend or $100,000 from a parent, there’s no gift tax in Canada. You also don’t need to report it as income on your tax return. However, if that money earns interest or is invested, the earnings are taxable.
