Lavender Spa Thread Gone?

Income tax has nothing to do with this. It is local zoning and by-law enforcement. By-law only acts on complaints.
It has do with licensing and regulations - again a matter of the government trying to put a leash and documenting who's doing what (which will serve as a deterrent for under-the-table illicit activities). If not taxes, they will definitely charge these spas and their attendants through licenses and force them to undergo certifications.

It seems to be working: spas are closing down & the girls are unwilling to put their legal names on paper in order to continue business-as-usual.
 
Well yes, there are ways to get around it. Guarantors and statutory declarations and what not... I am aware.
The government is concerned because these spas are not giving back a certain percentage - either in the form of taxes or otherwise.
That's how this conflict started.
THe conflict as you call it is not started by not giving back a certain percentage of their Income. That is a Federal Matter. This is a local Municipal By-Law issue.
 
THe conflict as you call it is not started by not giving back a certain percentage of their Income. That is a Federal Matter. This is a local Municipal By-Law issue.
All these governments work together, my friend. They pass the buck when it's appropriate. Olivia Chow talks to Doug Ford, who then talks to Mark Carney, and so on and so forth... (regardless of political affiliation). We cannot pretend that they are disconnected from each other. With the issue of tariffs, all levels of government are coming up with an action plan. With Canada's sovereignty at stake, there are renewed efforts to boost co-operation between provinces, cities and across the country as a whole.

(And a lot of this stuff will not be reported in the news. There are no news articles out there that talk about the notices that were served to the spas recently. Am I right?)
 
My god - Conspiracy Theory much?

No news about these Notices served? Of course Not. IT IS A LOCAL BY LAW ISSUE.

Anyway I am on my way to get a Relaxing Massage and clear my head. This back and forth is starting to go way above my pay grade😀
 
LOL!
Breaking News: There are regulations out there that prevent individuals from reporting exorbitant amounts of income that are not tied to their salary. Ask any major bank and they will confirm it. That's why FINTRAC exists. That's why they have regulations under AML (anti-money laundering) and ATF (anti-terrorist financing). Questions will arise if someone is reporting income or depositing funds that are 200% more than their regular salary. I can guarantee you that MOST of their earnings from extras are not reported to the CRA.
Think about your 200% for a minute. If they are getting paid in cash, it’s not all getting deposited into their bank account. Sure, enough will be to fund mortgage/rent pre-authorized deductions, online bill payments, etc.. But much of that cash will stay in their wallets and be used to pay for food, restaurants, etc. and never hit the bank account. It won’t trigger or raise those flags you are worried about. Electronic payments are traceable but cash is not.

The FINTRAC rules are looking for large transactions of a “suspicious” nature. In dollar terms, the banks follow a $10K hurdle of incoming or outgoing cash. Essentially, $10K+ in either one transaction or cumulatively in 2 or more in a 24 hour period. Those will get reported by the bank. Below that $10K then No. So, unless she’s bringing in more than $120K and it’s all going into the bank in a once/month transaction, or more likely $150k + with 75% of that cash going into the bank in a once/month transaction then no FINTRACT flags will be raised. But, even that $150k* is double the number we’ve been discussing earlier.
 
My god - Conspiracy Theory much?

No news about these Notices served? Of course Not. IT IS A LOCAL BY LAW ISSUE.

Anyway I am on my way to get a Relaxing Massage and clear my head. This back and forth is starting to go way above my pay grade😀

The conspiracy theory is a bit far-fetched. Just too many spas in a concentrated area likely led to one complaint too many…
 
Think about your 200% for a minute. If they are getting paid in cash, it’s not all getting deposited into their bank account. Sure, enough will be to fund mortgage/rent pre-authorized deductions, online bill payments, etc.. But much of that cash will stay in their wallets and be used to pay for food, restaurants, etc. and never hit the bank account. It won’t trigger or raise those flags you are worried about. Electronic payments are traceable but cash is not.

The FINTRAC rules are looking for large transactions of a “suspicious” nature. In dollar terms, the banks follow a $10K hurdle of incoming or outgoing cash. Essentially, $10K+ in either one transaction or cumulatively in 2 or more in a 24 hour period. Those will get reported by the bank. Below that $10K then No. So, unless she’s bringing in more than $120K and it’s all going into the bank in a once/month transaction, or more likely $150k + with 75% of that cash going into the bank in a once/month transaction then no FINTRACT flags will be raised. But, even that $150k* is double the number we’ve been discussing earlier.
Yes, that's exactly my point. MOST of their income goes under the radar i.e. they are NOT reported - either to the CRA or ANY government authorities IF the banks cannot trace it.
Thanks!
 
As most of us still need discrepancy, we use cash. They still need to deposit that cash in order to pay their bills. Some can just get spent without getting deposited nor reported. That’s same with all cash based businesses.
 
I’m just remembering back about 5-7 years ago. A Markham spa owner said bylaw told her she can’t represent her place as a massage place since she wasn’t registered. Bit referring to the service as body treatment was ok.
This was Michelle at EM.
 
The other thing is: once you have an RMT license, you are absolutely forbidden from engaging in any kind of "sexual" services with your client. That's why these girls are refusing to sign on (because they know where most of their money comes from). 😆 In this case, the attendants can lose their licence (and even get charged for an offence) if they partake in sexual interactions with a client - regardless of it being consensual. It will be considered "sexual abuse" no matter how the client feels. Here is the source: Code of Ethics

"do not, under any circumstance, participate in any form of sexual behaviour with clients, including “consensual” behaviours
"Sexual contact with a client is defined as sexual abuse in the RHPA. It is not a defence if the client “consents” to the sexual touch. Please see the Standard of Practice: Prevention of Sexual Abuse for additional information."


Once these principles are enforced, the next time a police officer catches you fucking an MPA, that MPA will be busted for good (as in their careers coming to an end and being discredited - since their name will be in the database). They may even end up with a criminal record. Usually, the actions of the client are scrutinized (since it is "illegal" to buy sexual service, but somehow selling it is okay). The new enforcements will reverse the dynamic and scrutinize the attendant instead (assuming they haven't caught the client red-handed in making the transaction - which is harder to prove).
 
So I assume the girls will need. Holistic,body rub or rmt license? If they do then expect a lot of holistic girls to join the semi crews.
 
You know fuck all. The cash money they hide are peanuts compared to contractors in construction industries, plumbers, paving companies and restaurant businesses. When I was living in cachet estates about 20 yrs ago, I called 3 paving companies for quotes for my long drive way, 2 guys gave me $13,000 and 12,000 and one Italian guy gave me the quote of only 7,000 cash. So I went with him. The next evening 2 Government City trucks came over from the site they were working not too far away from my house and dumped at my house all the materials needed for my drive way
Jeez...now you're recycling your old bullshit stories.

We've heard that one Gramps.
 
By law officers cannot, in actual fact shut down a business. They can issue fines for Non-Compliance and give you a chance to comply. Repeated violiations may lead to more fines and a FINAL notice to comply or they will revoke your licence. Revoking that licence does not mean you have to shut down. One can pivot and change the business model.

Come April 1st, some spas will close as the owners might just decide that it is not worth the hassle to carry on the business. Some will try and comply and come up with creative ways to bypass that licence requirement.

Only the landlord can lock you out. They can and they will if they decide that you do not have the required licence or not complying with the terms of your lease. Which is what I think happened to Hot Rocks a while back. She fought back and won the case against the landlord.

If an owner decide to close, they will now have to negotiate with the landlord on early termination of their lease. How sympathic that landlord will be it is anyone guess.
 
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