Whether you’ve picked up a side gig or you’re devoting 100% of your time to your self-employment, claiming all of your business’s expenses is important for a couple of reasons. In addition to lowering your tax burden, knowing your expenses gives you the best overall picture of your business’s financial health. All self-employed people can claim reasonable expenses that are related to the business. The cost of a Caribbean cruise for you and your significant other isn’t eligible – even if you were thinking about business the whole time.
Common business expenses include:
- Inventory and supplies including office supplies
- Vehicle expenses
- Salaries paid to employees
- Food and entertainment
View the complete list on the CRA’s Business expenses web page