Any transaction over $5k is guaranteed to raise suspicion. Any pattern of transactions under $5k that look like they are intentionally trying to avoid the $5k reporting limit will certainly raise eyebrows.
From a savings point of view what is more likely to raise suspicion is a large balance. Eventually the CRA will notice. Maybe not for several years, but they can audit you back several years into the past (5-10 depending), and if they audit you for one year, odds are thy will look back several previous years.
I would recommend that an SP declare at least a large portion of her income and put it in the bank. First, the business isn't illegal, and the CRA isn't going to come and lecture you on your lifestyle, and they'll keep the record secret. Second, you could just list it as "self employment income" and put down "entertainer" or something, you don't have to be specific, and CRA won't really care either, so long as you report it.
You could then save maybe half the money you reported in a proper investment account or something. You also would be able to write off all sorts of business expenses--if you rent a place to entertain clients, or your car, clothes you buy for the job, money you spend advertising, paying drivers, food while you are working, etc., you can write that all off, so taxes are going to be lower than you think.
This industry is *legal* in Canada, and there are generous deductions available for small business owners, which is what all you SP's really are, so taxes are not really the big problem you think they are. Get an accountant who is open minded and file something. Maybe not 100% of your income, but enough that you can have real savings in the bank.
Kacy, this is a lot easier than you think, you have nothing to be ashamed of about your job, and you have a great opportunity to save a lot of money if you do this right. It won't take you long to get it set up, and you'll be able to breathe freely wrt CRA, etc.
