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December 23, 2022
Question

Should I calculate the total cost for insurance on vehicles expenses ?

  • December 23, 2022
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    December 23, 2022

    The Canada Revenue Agency (CRA) explains everything about vehicle expenses in this next link.

    Calculating motor vehicle expenses

    If you use a motor vehicle or a passenger vehicle for both business and personal use, you can deduct only the portion of the expenses that relates to earning business income. However, you can deduct the full amount of parking fees related to your business activities and supplementary business insurance for your motor vehicle or passenger vehicle.

    To support the amount you deduct, keep a record of both the total kilometres you drive, and the kilometres you drive to earn income.

     

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