Hi, I want to understand how to report income, revenue based on my business scenario.
Scenario:
Person A bought something for Person B for lets say $100 and charges $5 as service fee
However Person B is paying through my app as credit card payment of 105 + $2 app commission so total $107
The only profit for my business is $2, however $105 goes to Person A through us.
Question
is the whole $107 considered revenue ? or only $2 commission for app considered revenue? , whats the right way to report these incomes. I am based out of Canada. Thanks for guidance.
