Do I Really Need to Declare $80,000+ this Year?

[Daniel Massicotte]

I have a scenario that is playing out. I want to get some outside perspective from other investors, lenders, etc.... ideally from people with experience in Canada, but of course, not mandatory.

Here is my Situation:

In 2012 I bought a $400k pre-construction condo in a prime location in Toronto. The deal is: 5% down at signing and no other payments until 2017 where 15% was due in the spring (last month) and another 5% will be due at closing (Fall 2017). I will be applying for a mortgage this fall based on my annual earned income of about $80,000 in 2016 and less than that it prior years. 

In January I quit the company I was working for, because I have a company of my own and it was supporting me financially - it was time to leave. The plan was to apply for a mortgage this fall at closing based on my 2016 and 2015 earned income of $80,000/year. However, closing has been delayed to Fall of 2018.

I could pay myself a salary of $80,000 in 2017 (through my company). But I don't NEED $80,000 of earned income; I need about $40,000 or less. If I pay myself $80,000 I'm incurring extra tax, EI premiums other expenses like Canada-Pension contributions, etc.

I have a credit score of 700+ and have 10+ year old bank accounts with the two largest banks in Canada

So here's what I'm wondering:

1. Do I really need $80,000 in earned income in 2017 to get a mortgage in 2018?
2. How little can I earn in 2017?

My thinking and ways of thinking has shifted a lot since reading the forums, podcasts, blogs and meeting/chatting with members. Looking forward to hearing from you guys.