[Verse 1] Section three's the starting line, where income calculation starts Employment wages, business gains, and property that earns its parts Capital gains when assets sell, and other sources too The framework builds from ground up, let me walk it through [Chorus] E-B-P-C-O, five sources strong and true Employment Business Property, Capital gains and Other too Net income first, then taxable, the ordering must flow Stewart says there's got to be a source before we go [Verse 2] Stewart came in two thousand two, Supreme Court made it clear No source of income means no loss, the test we hold so dear Commercial activity or not, personal pursuit Reasonable expectation gone, but source remains the root [Chorus] E-B-P-C-O, five sources strong and true Employment Business Property, Capital gains and Other too Net income first, then taxable, the ordering must flow Stewart says there's got to be a source before we go [Verse 3] Division C deductions come after income's been computed RRSP and moving costs, when rules are well-suited Childcare and disability, support payments that you send Net income is the result when all these factors blend [Bridge] From net income to taxable, more deductions await Lifetime exemptions, loss carryovers, calculate your rate The ordering rules are critical, sequence matters most Follow the framework properly, from coast to coast [Chorus] E-B-P-C-O, five sources strong and true Employment Business Property, Capital gains and Other too Net income first, then taxable, the ordering must flow Stewart says there's got to be a source before we go [Outro] Section three's your foundation, build your knowledge high Income computation framework, reaching for the sky
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