Learn how Canada’s RDPO tax rules affect freelancers on Upwork, what information you must provide, and how to access and understand your annual RDPO tax form.
In this article
- What are Canada's Reporting Rules for Digital Platform Operators?
- What do I need to do for Canada's RDPO?
- How do I view my RDPO tax form for Canada?
- What does my RDPO tax form for Canada contain?
- Who's eligible to receive a Canadian RDPO tax form?
- Why is it important that I ensure my tax information is updated for Canada's RDPO?
- I’ve updated my tax information for Canada's RDPO but still can’t withdraw funds, why not?
- How long will it take you to validate my tax information for Canada's RDPO once I enter it?
- How do I make sure that I receive my Reporting Rules for Digital Platform Operators tax form from Upwork?
- I don’t have a Canadian tax identification number (TIN); how do I get one?
- How will the data on the Reporting Rules for Digital Platform Operators tax form for Canada be used?
Disclaimer:
This article is meant for general information only and not to be considered tax advice. It may not be updated in real time and may not reflect recent changes. We strongly encourage you to consult your country’s tax authority or your tax advisor with questions related to your specific situation.
What are Canada's Reporting Rules for Digital Platform Operators?
Canada’s tax directive, Reporting Rules for Digital Platform Operators (referred to in this article as RDPO), requires online marketplaces like Upwork to comply with tax reporting obligations.
For freelancers based in Canada, we're required to report all payments made to you to the Canada Revenue Agency (CRA), regardless of the number of transactions or amount.
Reporting is required annually. Transactions from January 1 to December 31 must be submitted in January of the following year.
What do I need to do for Canada's RDPO?
Make sure the details on your tax information page are complete, accurate, and up to date, including your location or residence and your Tax Identification Number (TIN). Providing valid tax information is required by RDPO regulations.
Note:
If your tax information is not entered or not valid, it will result in limitations on your account, including restrictions on withdrawing funds or other limitations.
How do I view my RDPO tax form for Canada?
We’ll notify you by email and with a notification banner when your RDPO tax form is ready, with a link to your tax forms.
Once it's ready, you can also view it at any time by going to Manage finances > Tax forms.
What does my RDPO tax form for Canada contain?
Your RDPO contains your identifying information, all your Upwork transactions for the reporting period, and your bank information, including:
- Total of net earnings minus refunds: Your total earnings after all refunds, taxes, fees, and commissions are deducted
- Total fees and commissions: All payments you make to Upwork, such as Connects purchases, payment transfers, and Freelancer Service Fees, for example
- Total taxes: Any taxes that Upwork must collect to comply with local tax laws, like your country's income taxes, withholding taxes, or indirect taxes, for example
- Total number of transactions: All earnings transactions in the reporting period
- Bank account information: Your bank account’s name, type, identifier, and number for accounts where your payment withdrawals from Upwork are deposited. If you use Payoneer or PayPal, we'll include information for those accounts
Note:
All figures in RDPO tax forms that you receive from us will be listed in USD.
Who's eligible to receive a Canadian RDPO tax form?
If you're a freelancer or agency located in Canada or its territories and had income on Upwork during the reporting period, you're eligible to receive an RDPO tax form.
For services, there's no minimum number of transactions or earnings to qualify for RDPO reporting.
You must complete the appropriate form (Form W-8BEN, W-8BEN-E, or W-9) and update your tax residence for us to determine whether you live in Canada. We cannot send you an RDPO tax form without a Canadian tax residence.
Why is it important that I ensure my tax information is updated for Canada's RDPO?
- Canada’s Reporting Rules for Digital Platform Operations require that you provide valid and accurate tax information
- Having the correct tax residence address and the Tax Identification Number (TIN) on file allows us to correctly file your RDPO tax form as required by Canadian tax authorities
- If your tax information is not valid, it will result in limitations on your account, including restrictions on withdrawing funds and other limitations
I’ve updated my tax information for Canada's RDPO but still can’t withdraw funds, why not?
Please check to make sure you have entered all of your tax information correctly. If it is correct but you just recently entered it, it may take some time for your account to reflect the information as our tax team validates the information you have provided.
How long will it take you to validate my tax information for Canada's RDPO once I enter it?
The time it takes to validate tax information depends on several factors. Please allow up to one week processing time after submission.
How do I make sure that I receive my Reporting Rules for Digital Platform Operators tax form from Upwork?
You’ll need to make sure that your tax address is up to date and that you have completed a W-8BEN, W-8BEN-E, or W-9 with a valid Tax Identification Number (TIN). You can make updates on your account's tax information page.
I don’t have a Canadian tax identification number (TIN); how do I get one?
You may be able to find information about your country’s TIN here. If you have questions about your number, you'll need to consult a tax advisor in your country or contact your local tax authority.
How will the data on the Reporting Rules for Digital Platform Operators tax form for Canada be used?
We'll report the tax information you provide, your earnings, and your bank information to the relevant Canadian tax authorities.