Line 9946 is the number the whole form exists to produce: your net self-employment income. Part 5 is a short march from line 9369 to line 9946, but two of its lines only apply to partners and one carries a loss-limit rule that catches home-office claimants. Part of the complete T2125 line-by-line reference.
Jump to:
Line 9369 — net income (loss) before adjustments
Gross income (line 8299) minus total expenses (line 9368). Despite sitting right beside 9368, line 9369 is not an expense total — it's the result. If you work alone with no home office, 9369 and 9946 will usually be the same number; Part 5's remaining lines are the adjustments between them.
Lines 9974 and 9943 — the partnership lines
Line 9974 — GST/HST rebate for partners
If you're a partner and received a GST/HST rebate for partners in the year, the portion relating to eligible expenses (other than CCA) is added to income here. Sole proprietors: zero.
Line 9943 — other amounts deductible from your share of partnership income
Expenses you personally paid to earn partnership income that the partnership didn't reimburse — the CRA's own example is motor vehicle costs a partner incurred using a personal vehicle for the business. Sole proprietors: zero again.
Line 9945 — business-use-of-home expenses
The workspace share of home costs, computed in Part 7 of the form and entered here. The rule to know: 9945 cannot create or increase a loss. You deduct the lesser of your available home-office expenses (including anything carried forward from last year) and your net income after the other adjustments — whatever doesn't fit carries forward to next year. And whatever you claim here can't have been claimed anywhere else on the form.
Line 9946 — your net income (loss)
What's left after Part 5's adjustments. This is your business's bottom line for the year — the number that drives your income tax and CPP contributions. It can be negative (a business loss); it just can't be pushed negative by line 9945.
Where the number goes on your T1
Two destinations, and they pair with the gross lines from Part 3:
- Business income: gross (8299) on line 13499, net (9946) on line 13500.
- Professional income: gross on line 13699, net on line 13700.
From there it joins your other income and drives federal and provincial tax plus CPP on self-employment earnings. Want the dollars? The self-employed tax calculator takes your line-9946 number and estimates the whole bill, and the CPP calculator breaks out the contribution.
Get to 9946 without the arithmetic. The generator computes 9369 → 9946 with the home-office loss limit applied automatically.
T2125 Generator → Tax Calculator →FAQ
Can line 9946 be a loss?
Yes — if your expenses legitimately exceed your income, 9946 is negative. The one restriction in Part 5: business-use-of-home expenses (line 9945) can't create or deepen that loss; the unused portion carries forward instead.
What's the difference between 9369 and 9946?
9369 is income minus expenses before adjustments. 9946 is the final number after the Part 5 adjustments — partner rebates (9974), partner-paid expenses (9943), and home office (9945). No partnership and no home office? They're equal.
I'm a sole proprietor. Do I use 9974 or 9943?
No — both are partnership-only lines. Your Part 5 is simply 9369, minus 9945 if you claim a home office, giving 9946.
Does 9946 include GST/HST I collected?
No. GST/HST was already excluded back in Part 3 (it enters at amount 3A and is removed at amount 3B), so neither 8299 nor 9946 contains it.
Follows CRA Guide T4002 and the CRA's "Part 5 – Your net income (loss)" guidance (verified 2026-07-02). For planning and organization — not tax, legal, or accounting advice. Confirm with the CRA or a qualified professional before filing.