Being able to see every time a dollar (or krone, I suppose) changed hands isn't enough for the taxman though. Last month Tarsnap Backup Inc. wrote me a cheque, and there's a very clear electronic trail showing the money moving from Tarsnap's account to mine. But that electronic trail says nothing about the reason why the money moved.
If Tarsnap was paying me a bonus, that would be taxable income. But if Tarsnap was merely reimbursing me for expenses I paid on my personal credit card, that's not taxable. The taxman can only tell the difference when they turn up at my door and ask to see my records showing why that money was paid.
(The answer, incidentally, is that Tarsnap was reimbursing me for the AWS bill I paid via my credit card. Tarsnap, being a Canadian small business, can't get a US dollar credit card with a limit high enough to pay its AWS bills, but my personal credit card has a generous limit.)
If Tarsnap was paying me a bonus, that would be taxable income. But if Tarsnap was merely reimbursing me for expenses I paid on my personal credit card, that's not taxable. The taxman can only tell the difference when they turn up at my door and ask to see my records showing why that money was paid.
(The answer, incidentally, is that Tarsnap was reimbursing me for the AWS bill I paid via my credit card. Tarsnap, being a Canadian small business, can't get a US dollar credit card with a limit high enough to pay its AWS bills, but my personal credit card has a generous limit.)