Deducting your business expenses

You can deduct any reasonable expenses you incur to earn your daycare income. It is important to know the difference between daycare expenses and your personal expenses.

Here is a list of expenses that are deductible:

• Advertising
• Business-use-of-home expenses
• Business tax, licences, and memberships
• Capital cost allowance for your daycare
• Field trips
• Management and administration fees
• Motor vehicle expenses
• Office expenses
• Office stationery and supplies
• Professional fees (includes legal and accounting fees)
• Repairs and maintenance
• Salaries, wages and benefits (including employer's contributions)
• Travel expenses

Forms and publications

• Guide T4002, Self-employed Business, Professional, Commission, Farming, and Fishing Income
• Form T2125, Statement of Business or Professional Activities