[TorontoCFE]

Technically speaking, you are required to pay income tax on poker earnings if you are in the business of poker.

You can see my posts at [url=http://forumserver.twoplustwo.com/showthreaded.php?Cat=&Board=inet&Number=10 95183&fpart=&PHPSESSID=]
for the details, but essentially the test for whether poker earnings has stopped being a windfall and become a business is if you make an effort to reduce the luck element, depend on or expect the income and have the intent to profit rather than play for recreation.

The amount of time spent or whether you make a certian amount is technically irrelevant to the issue. Just as there are part-time real estate agents, you can be a part-time poker businessman. That being said, the extent of your playing is ONE of the factore they look at. If you spend 3 hours a week playing and work a job for 40, then you are probably safe if the other factors don't tilt things the other way.

And of course, being "in the business of poker" doesn't mean all of your poker income is necessarily taxed.
I am working on a case now where an online player made a decent amount of money and also won a B&M tournament. It is my position that money made in tournaments with a huge number of entries would still be considered a windfall since it is very different than regular ring or SNG play and there is a much lower expectation of profit.

The CRA considers whether you are in the business of poker to be a question of fact. They would look at your particular situation and all of the factors, determine how they weight out and then say yes or no.