Please help clarify a Gross Annual Revenue question. We have an Ag loan division, the majority of our borrowers do not have GAR of over $1 million. We do however have a few that are actually cattle buyers. They buy then turn around and sell, may not become inventory. On the schedule F of the tax return line 1, "sales of livestock..." they may show well over the $1million dollars. When there Gross income from line 11 is under the million.
Is this reported as over $1 million dollars GRA?

I forgot to add, that the Guide to CRA Data Collection say , rely on the revenues that it considered in making its credit decision...

IMO, I would use over $1 million because that is the sales that they are generating in that tax year. What money they are actually keeping as profit or income to their bottom line is insignificant. It has been my understanding that the reason that we code the revenue is to show what percentage of our small business or farm loans are actually to small or large firms/farms.

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On the schedule F of the tax return line 1, "sales of livestock..." they may show well over the $1million dollars.

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This is the code you use. Gross Sales or Gross Revenues.

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When there Gross income from line 11 is under the million.

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Note here it says Gross INCOME. This is a net figure of income from Gross Sales. The figure is then netted even further down from there. Remember in the world of CRA we NEVER NEVER NEVER report any figure called "Income". Income is what people earn, Revenues are what businesses have

Report these cattle sellers at over one million if line one shows their gross sales over this figure.