Truck Dispatch Business Tax Deductions in Canada: Dispatch Software, Home Office & Operating Expenses

Truck dispatch business tax deductions Canada explained: software, workspace, vehicles and offshore staff

Truck dispatch business tax deductions Canada help reduce your overall tax burden by including truck dispatch business expenses, home office expenses, and dispatch software tax deductions. Gondaliya CPA offers expert advice on truck dispatcher taxes Canada, bookkeeping, and corporate tax to maximize your write-offs and operating expense claims.

Quick Summary

Salary is deductible to a corporation; dividends are not. Regulation 105 withholding on a non-resident’s services performed in Canada is 15% and a treaty does not reduce it on its own — relief requires an approved waiver. And test (a) of subsection 18(12) asks only whether the home is your principal place of business, with no exclusivity requirement at all.

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The Numbers That Matter

Three Things You Have Been Told

Three points about truck dispatch tax circulate widely and all three are wrong. The first would change what a corporation actually owes.

Dividends Are Not Deductible

Incorporating still helps where profit is retained: the small business deduction under section 125 gives 12.2% combined in Ontario on the first $500,000 of active business income against 26.5% above it. But the benefit is deferral, not an absolute saving, once everything is drawn out.

A Treaty Does Not Reduce Regulation 105 by Itself

For most dispatch agencies using offshore staff who never set foot in Canada, the answer is that Regulation 105 does not apply — so the documentation you need is proof of where the work was done, not a treaty analysis.

Test (a) of 18(12) Needs No Exclusive Room

The deduction cannot create or increase a loss, with the excess carried forward under paragraph 18(12)(c) against income from the same business. An incorporated dispatcher pays rent to the shareholder under a written agreement rather than claiming under 18(12) at all.

Truck Dispatch Business Taxes: An Overview

Key Tax Obligations for Truck Dispatchers

Payroll remittance sits in Regulation 108. Regulation 105 is a different rule entirely — withholding on non-resident service fees — and the two are routinely confused.

How CRA Views Dispatch Income and Expenses

• Dispatch fees are taxable income under section 9, included when receivable under paragraph 12(1)(b).
• Freight revenue belongs to the carrier, not the dispatcher. You report your fee, gross, whether it is a flat charge or a percentage. Netting a settlement understates revenue and will not reconcile to your GST/HST returns.
• Whether a receipt is yours or the carrier’s turns on agent versus principal — who contracts with the shipper, who bears the credit risk, whose authority moves the freight.
• Deductions follow paragraph 18(1)(a), subject to reasonableness in section 67.

Importance of Accurate Bookkeeping and Accounting for Dispatch Businesses

Books and records are kept six years from the end of the taxation year to which they relate, under paragraph 230(4)(b) — not six years from filing. Subsection 230(1) is the requirement to keep them, and section 286 of the Excise Tax Act imposes the same period for GST/HST records.

Specialized Tax Considerations for Incorporated Versus Sole Proprietor Dispatch Services

A sole proprietor does not get fewer deductions than a corporation. The rules in paragraph 18(1)(a) are the same, both claim capital cost allowance, and the sole proprietor additionally has the 18(12) workspace deduction that a corporation cannot use. What differs is the rate, the timing and the administration.

Common Tax Deductions and Expenses for Truck Dispatch Businesses

Typical Expenses Eligible for Deduction

• Load board and dispatch software subscriptions.
• Offshore and domestic staff costs, with the location of the work documented.
• Vehicle costs attributable to dispatch duties.
• Office supplies, phone and internet, apportioned where mixed.
• Professional fees, insurance and association dues.

Home Office Expenses: What Qualifies and How to Claim

Subsection 18(12) gives two alternative tests: (a) the workspace is your principal place of business, with no exclusivity requirement; or (b) exclusive use and regular client meetings at the space. A dispatcher working from home almost always relies on test (a), which does not require a dedicated room.

Apportion by area, reduced further by time where the space is shared with the household. A 150 square foot office in a 1,000 square foot home is 15%; if that room is also the family den for half its waking hours, the claim is lower again. The deduction cannot create or increase a loss, with the excess carried forward under 18(12)(c).

Dispatch Software and Technology

The half-year rule is suspended for eligible property acquired after 31 December 2024 under Bill C-15, so a full first-year rate currently applies where it would once have been halved. Subscriptions that straddle a year-end are apportioned under subsection 18(9).

Vehicle-Related Operating Expenses

• Fuel, insurance, maintenance, registration and lease payments, apportioned on business kilometres.
• A logbook showing date, destination, purpose and kilometres; the simplified method allows a full base year then a three-month sample, provided business use stays within 10 percentage points.
• A passenger vehicle is Class 10.1 above the prescribed capital cost limit, with no recapture or terminal loss; otherwise Class 10 at 30%.
• Lease payments on a passenger vehicle are capped by section 67.3.
• Interest on a vehicle loan is restricted by paragraph 67.2.
• Travel between home and a regular place of business is personal.

Office Supplies, Communications and Membership Fees

Supplies consumed are deducted as used. Phone and internet apportioned on documented business use. Trade and professional association dues are deductible under 18(1)(a); dining, recreation and sport club dues are denied outright by paragraph 18(1)(l) — which is a provision, not a judgement call.

Legal, Accounting and Professional Fees

Fees for carrier contracts, bookkeeping, GST/HST support and corporate tax work are deductible under paragraph 18(1)(a). Legal fees on a capital transaction are capital; incorporation costs are deductible up to $3,000 under paragraph 20(1)(b), with the excess to Class 14.1. Fines and penalties are denied by section 67.6, and meals and entertainment are limited to 50% of actual cost by section 67.1 — with no per-person cap.

Strategies to Maximize Truck Dispatch Tax Write-Offs

How to Organize and Track Truck Dispatch Business Expenses Effectively

• Receipts, invoices, bank statements and carrier agreements captured as they arise.
• Fee income tracked separately from freight revenue, so the gross figure is always visible.
• QuickBooks Online or Xero with bank feeds reconciled monthly.
• Expense categories fixed at entry rather than sorted in April.
• Mixed-use items tagged with the apportionment basis at the point of entry.

Using Capital Cost Allowance for Depreciable Assets

1. Add the asset to its class at full cost under Schedule II, with rates in Regulation 1100.
2. Check available for use under subsections 13(26) to (32) — an unopened box at 31 December generates nothing.
3. Apply the class rate on the declining balance: Class 50 at 55% for computers, Class 8 at 20% for furniture, Class 12 at 100% for software and tools under $500.
4. Apply the business-use percentage to the resulting claim.
5. No halving: the half-year rule is suspended for eligible property acquired after 31 December 2024.

Worked example. A $2,400 workstation used 90% for dispatch, acquired in 2026: $2,400 × 55% × 90% = $1,188 in year one. Figures changed for privacy.

Claiming Fuel and Travel Expenses

• Kilometres logged per trip with date, destination and purpose.
• Fuel, maintenance and insurance apportioned on that log.
• Meals on the road at 50% of actual cost under section 67.1.
• Parking and tolls on business trips, with receipts.
• Personal travel excluded, including the commute to a regular place of business.

Leasing Versus Buying Equipment

Lease payments are deducted as incurred rather than simply “when paid” — the distinction matters where a payment covers a period that straddles the year-end, which subsection 18(9) apportions.

Managing Subcontractor Payments

• Classification tested on the Wiebe Door factors as refined in Sagaz and Connor Homes: control, tools, chance of profit, risk of loss. CRA Guide RC4110, with a ruling on Form CPT1.
• Resident subcontractors: T4A above $500, by the last day of February under Regulation 205(1).
• Non-resident, services performed in Canada: 15% withheld under Regulation 105, with relief only by an approved waiver on Form R105.
• Non-resident, services performed outside Canada: no withholding — keep the evidence of location.
• Misclassification produces assessed source deductions for both shares, plus penalty under subsection 227(9) and director liability under 227.1.
• Electronic filing mandatory above five information returns of a type.

Benefits of Incorporating

• Small business deduction under section 125: 12.2% combined in Ontario on the first $500,000 of active business income.
• Limited liability, separate from the tax question.
• Salary deductible and creating RRSP room; dividends not deductible and tested under TOSI in section 120.4, where the excluded shares exception is unavailable to a services business.
• Accrued remuneration paid within 179 days of year-end under subsection 78(4).
• Shareholder loans repaid within one year after the corporation’s year-end under subsection 15(2.6).
• The advantage is deferral where profit is retained; drawing everything out largely neutralises it.

Filing Taxes for Truck Dispatch Businesses in Canada

Steps to Prepare and File Accurately

1. Separate dispatch fee income from carrier freight revenue, whether charged flat or as a percentage.
2. Code expenses: software, phone, workspace, vehicle, advertising, insurance, professional fees.
3. Reconcile fee income to settlement reports.
4. Classify each worker before the slip run.
5. Build the capital cost allowance schedule by class with business-use percentages.
6. Review mixed-use splits and document the basis.
7. Reconcile GST/HST collected against input tax credits.

Deductions rest on paragraph 18(1)(a) with reasonableness in section 67. Paragraph 20(1)(p) is the bad debt provision and has nothing to do with general deductibility or advertising.

Key Filing Deadlines and Requirements

Payroll Remittance Bands

Penalties

• Late filing: 5% of unpaid tax plus 1% per complete month to twelve, subsection 162(1) — not $100 per day.
• Arrears interest: compounded daily, subsection 161(1).
• Late payroll remittance: 3% to 10% by lateness, subsection 227(9).
• Late GST/HST filing: 1% plus 0.25% per month, section 280.1 — again, no daily $100 charge.
• Failure to file electronically: $250, subsection 162(7.2).

GST/HST Registration and Filing

The threshold is section 148 of the Excise Tax Act, measuring taxable supplies, with registration required by subsection 240(1). Section 123(1) is definitions. Two routes cross it: four consecutive quarters, or a single quarter, which ends small supplier status immediately with 29 days to register.

• Dispatch fees are taxable supplies. The zero-rating for international freight transportation in Schedule VI, Part VII applies to the carriage, not to your dispatch fee — so a cross-border load does not make your fee zero-rated.
• Place of supply for a service generally follows the recipient’s address under Schedule IX and the Place of Supply Regulations.
• Input tax credits under section 169, with documents to the 169(4) thresholds: over $30 the supplier’s name and date; over $150 the registration number, your name, terms and a description. Claims lost after four years.
• Meals credits recaptured to 50% to match section 67.1.

Common Filing Mistakes

• Not charging GST/HST after crossing the threshold, particularly on the single-quarter route.
• Reporting fee income net of settlements rather than gross.
• No evidence of where offshore work was performed.
• Abandoning the workspace claim over an exclusivity rule test (a) does not impose.
• Expensing capital items instead of classifying them.
• Deducting dividends.

How Gondaliya CPA Supports Dispatch Businesses

Fee income separated from carrier revenue, offshore work location documented, the capital cost allowance schedule built by class, workspace measured under the right limb of 18(12), remittance band set correctly, and the GST/HST, payroll and T1 or T2 filed from one reconciled set of books — on a flat annual fee including HST.

Financial Planning and Support for Truck Dispatch Operators

Budgeting for Operating Expenses and Tax Liabilities

• Personal and business spending separated, with a dedicated account and card.
• Recurring costs tracked monthly: software, load boards, phone, insurance.
• Tax set aside as fee income is received rather than found at year-end.
• Receipts captured at the point of spend.

Planning Cash Flow Around Tax Payments and Refund Timelines

On refund timelines, CRA does not publish a guaranteed turnaround; an electronically filed return with direct deposit is generally processed faster than a paper one, and a figure such as “about eight weeks” is an expectation rather than a rule. The corporate balance date is the one that catches dispatch operators, because it falls months before the return and produces no penalty notice — only daily compound interest under subsection 161(1). Tax money held in a separate account, with software reminders on both dates, removes most of the problem.

Insurance Premiums and Other Mandatory Costs

• Commercial general liability and errors and omissions premiums, deductible under 18(1)(a) with subsection 18(9) allocating across the policy period.
• Municipal business licences where required.
• Employer health taxes where they apply — Ontario EHT and the equivalents in Manitoba and British Columbia, each with its own exemption and rate.
• Workers’ compensation registration per province, separate from payroll.
• Fines and penalties are denied by section 67.6, however they arise.

Using Tax Savings to Reinvest

Upgraded dispatch software, marketing, training and workspace improvements are all deductible under paragraph 18(1)(a) where incurred to earn income. Advertising is deductible under 18(1)(a) — not paragraph 20(1)(p), which is bad debts — with sections 19 and 19.1 restricting advertising placed in non-Canadian newspapers and broadcasters.

Importance of Professional Bookkeeping Services for Dispatch Operators

What a licensed firm adds is the judgement rather than the data entry: gross versus net on settlements, which limb of 18(12) applies, whether Regulation 105 reaches a payment, which remittance band you sit in, and whether an asset is Class 50 or Class 8. Compiled statements under CSRS 4200 provide no assurance — where a lender or factoring company needs more, that is a review or audit engagement and a different piece of work.

Financing Options for Growing Dispatch Companies

• Small business loans and operating lines, where interest is deductible under paragraph 20(1)(c) on the use of the borrowed money.
• The Canada Small Business Financing Program, which covers equipment and leasehold improvements rather than working capital.
• Equipment leasing, deducted as incurred under 18(1)(a) with 18(9) apportionment.
• Invoice factoring, where the discount is a deductible cost and the gross fee remains the revenue figure.

Case Examples and Practical Advice from Gondaliya CPA

Real-World Examples of Deduction Applications

A solo dispatcher charging owner-operators a weekly flat fee deducts software subscriptions, the business share of phone and internet, and the workspace, with invoices and logs behind each. The fee is taxable income under section 9; the freight revenue it generates is the carrier’s.

An agency using offshore staff keeps evidence of where the work was performed, because that single fact decides whether Regulation 105 applies at all. Work done entirely outside Canada is outside the regulation, whatever treaty exists. Work done in Canada attracts 15% withholding unless a waiver is approved in advance on Form R105.

How Home Office Deductions Made a Difference

A 150 square foot office in a 1,000 square foot home is 15% of eligible household costs. Where the room is shared with the household, that percentage is reduced again by the proportion of time it is used for the business. Keep a floor plan or measurements, the utility and rent or mortgage statements, and the calculation itself.

Under test (a) of subsection 18(12) the space need not be used exclusively for the business — only the apportionment changes. Owners claim the business share of mortgage interest, never principal, and should not claim capital cost allowance on the home, since doing so can expose that portion to a taxable capital gain on sale.

Dispatch Software and Tools: Tax Benefits Illustrated

Figures changed for privacy. Where you are registered, the GST/HST on each is also an input tax credit under section 169 to the extent of commercial use. Unreasonable claims are reduced under section 67 — which has no subsection (1) doing this.

Addressing Complex Situations: Incorporating Dispatch Services

• T2 filed within six months, with the balance at two or three months.
• Computers in Class 50 at 55%; furniture in Class 8 at 20%; purchased software in Class 12 at 100%.
• Regulation 105 tested on where the work was performed, with voluntary disclosure under IC00-1R6 available before CRA makes contact.
• Owner pay set between salary and dividends — salary deductible, dividends not — with TOSI under section 120.4 tested where family hold shares.
• Shareholder balances tracked against the 15(2.6) window and the imputed interest benefit in 80.4(2).
• Schedule 1 reconciling accounting income to taxable income, with non-deductible items added back.

Year-End Preparation Checklist

1. Separate fee income from freight revenue and reconcile to settlement reports.
2. Check the section 148 threshold on both routes.
3. Collect software and subscription invoices.
4. Confirm worker status before the slip run; T4A above $500.
5. Document where offshore work was performed.
6. Measure the workspace and record the apportionment.
7. Match equipment invoices to available-for-use dates.
8. Split phone and internet on documented usage.
9. Apply the 50% meals restriction at year-end rather than at entry.
10. Diarise the payment date separately from the filing date.

FAQs on Truck Dispatch Business Tax Deductions Canada

Best Practices and Key Considerations for Truck Dispatchers

Additional Important Points on Truck Dispatch Taxes

• Top deduction mistakes: dividends treated as deductible, workspace abandoned over exclusivity, capital items expensed, settlements netted.
• What to prepare before starting: signed carrier agreements, bookkeeping software, a separate business account, and a method for separating fee income from freight revenue.
• Which items matter across expense groups: software, workspace, vehicle, subcontractors, phone and internet, insurance, professional fees, advertising, association dues, equipment.
• A realistic numeric walkthrough: measure the workspace, log the kilometres, and apply the percentage to documented costs rather than estimating the result.
• Choosing a CPA firm: look for trucking and dispatch experience, a flat fee quoted before work begins, and the ability to represent you before CRA.

Payroll and Tax Reporting Essentials

• Owner pay: salary deductible with payroll remitted; dividends not deductible; shareholder loans tracked against 15(2.6).
• Source deductions: income tax, CPP and EI, remitted by band under Regulation 108, with the employer matching CPP and paying EI at 1.4 times the employee premium.
• T4A slips: above $500 of fees for services, by the last day of February.
• Non-resident payments: Regulation 105 only where the work is performed in Canada.
• Late GST/HST: 1% plus 0.25% per month under ETA 280.1 — there is no daily $100 charge.
• Settlements: report the fee gross; never net it against freight revenue.

Points Worth Carrying

• Dividends are never deductible; salary is.
• Regulation 105 turns on where the work was performed, not on a treaty.
• Regulation 108 is payroll remittance; Regulation 105 is non-resident withholding.
• Test (a) of 18(12) requires no exclusive room.
• There is no $500 outright expensing rule for software or equipment.
• Computers are Class 50 at 55%; the half-year rule is suspended.
• Late filing is 162(1) at 5% plus 1% a month, not $100 a day.
• The corporate balance is due at two or three months.
• Dispatch fees are taxable; only the carriage can be zero-rated.
• Records run six years from the taxation year-end under 230(4)(b).

Dispatch practices share the same issues whatever they move. Here are ten and the usual finding.

• Solo dispatchers: test (a) needs no dedicated room.
• Percentage-fee dispatchers: the fee is the revenue, gross.
• Agencies using offshore staff: document where the work was done.
• Incorporated agencies: salary deducts, dividends do not.
• Dispatchers with employees: four bands, Regulation 108.
• Cross-border dispatch: Schedule VI Part VII covers carriage only.
• Dispatchers running a vehicle: log it, then apportion.
• Recently equipped offices: Class 50 at 55%.
• Dispatchers near the threshold: one quarter can cross it.
• Multi-province billing: the recipient’s address decides the rate.

Industry Spotlights: Sectors We Represent

Dispatch sits inside a wider transportation practice, and the same questions surface across every sector we act for. Here are eleven and the form the issue usually takes.

• Transportation, logistics & trucking: The core relationship. Dispatch fees are reported gross and must reconcile to the carrier settlement reports, because netting the two hides both the revenue and the GST/HST base.
• Construction, general contractors & skilled trades: Vehicles are the recurring issue, and Class 10 at 30%, Class 10.1 above the prescribed limit and Class 16 for heavy trucks are three different answers with a logbook behind each.
• Property developers & builders: Aggregate and material haulage is often arranged rather than owned, which puts the agent-versus-principal question squarely on the books.
• E-commerce & online retailers: Last-mile and less-than-truckload arrangement brings clients in several provinces, which puts Schedule IX place of supply into play on every invoice.
• Restaurants & food and beverage: Refrigerated and time-sensitive loads often carry accessorial charges, each of which is income when the service is performed and receivable.
• Real estate investors, landlords & holding companies: Yard and warehouse premises are frequently held in a separate corporation, which raises association under section 256 and one shared business limit.
• Technology startups & SaaS: Dispatch platforms sit across three treatments — subscriptions as current expense, purchased application software in Class 12, systems software with the hardware in Class 50.
• Consulting firms: Most dispatch agencies are owner-managed consultancies in substance, which brings the corporate balance date, TOSI and the shareholder loan window into their own file.
• Medical doctors & physician professional corporations: Specimen and supply courier arrangements are services supplied to a professional corporation, taxable on the dispatcher’s own registration status.
• Dentists & dental practices: Lab and appliance transport is scheduled rather than carried, so the fee is the revenue and the carriage belongs to whoever moves it.
• Daycare, childcare & CWELCC services: Supply delivery and programme procurement run on fixed-fee arrangements, where the cut-off at a year-end decides which period the fee falls in.

Professional Guidance: How Gondaliya CPA Handles Your Dispatch Business

Truck dispatch businesses get into difficulty in a predictable set of ways: treating dividends as a deduction, when a dividend is a distribution of after-tax profit and only salary is deductible; withholding 15% under Regulation 105 on offshore staff who never work in Canada, or failing to withhold on those who do and relying on a treaty that does not relieve the obligation without an approved Form R105 waiver; confusing Regulation 105 with Regulation 108, which is payroll remittance and runs on four bands rather than “15 days after month-end”; abandoning the workspace claim over an exclusivity rule that test (a) of subsection 18(12) does not impose; expensing software or equipment on a $500 rule that does not exist, when purchased application software is Class 12 at 100% and computers are Class 50 at 55%; reporting percentage fees net of carrier settlements; budgeting for a $100 per day late filing penalty, when subsection 162(1) charges 5% plus 1% per month; treating a dispatch fee as zero-rated because the load crosses a border, when Schedule VI Part VII covers the carriage and not the arrangement; and paying the corporate balance with the return, when it was due at two or three months under 157(1)(b). Gondaliya CPA handles truck dispatch accounting on a flat annual fee.

We handle what decides the outcome: separating fee income from carrier revenue so the gross figure reconciles to the settlement reports, documenting where offshore work was performed before any withholding decision is made, setting the right remittance band, measuring the workspace under the correct limb of 18(12), classifying each asset from its available-for-use date with the half-year rule suspension applied, testing the section 148 threshold on both routes, applying place of supply per client, setting owner pay between salary and dividends with TOSI tested, diarising the balance date separately from the filing date, and preparing compiled statements under CSRS 4200 that state plainly that no assurance is provided.

Our team starts with one carrier agreement, a month of settlement reports and your last return. However you charge, you get clear advice and a fixed price before we start.

• Salary: deductible
• Dividends: not deductible
• Reg 105: 15%, services in Canada only
• Reg 108: payroll remittance, four bands
• Workspace test (a): no exclusivity
• Computers: Class 50, 55%
• Purchased software: Class 12, 100%
• Half-year rule: suspended after 31 Dec 2024
• Meals: 50% of actual cost, ITA 67.1
• Threshold: $30,000, ETA 148
• Self-employed: file 15 June, pay 30 April
• Records: six years from the taxation year-end

• For: Canadian truck dispatch businesses, sole proprietors and incorporated agencies, charging flat or percentage fees to carriers and owner-operators, including those working from home or engaging offshore staff.
• Not For: Carriers and owner-operators themselves, whose per-diem meal claims, fuel tax reporting and logbook rules differ throughout, and businesses requiring a review or audit engagement, which we refer out.

• Regulation 105: 15% withholding on non-resident fees for services rendered in Canada.
• Form R105: The waiver application that relieves that withholding in advance.
• Regulation 108: The payroll source deduction remittance schedule.
• Average monthly withholding amount: The figure that sets the remittance band.
• Subsection 18(12): The two alternative home workspace tests.
• Paragraph 18(12)(c): The carry-forward of unused workspace amounts.
• Class 50: Computers and systems software at 55%.
• Class 12: Purchased application software and tools under $500 at 100%.
• Class 10.1: A passenger vehicle above the prescribed capital cost limit.
• Available-for-use rule: Subsections 13(26) to (32).
• Section 67.1: The 50% meals and entertainment limitation.
• Section 67.6: Denies the deduction of fines and penalties.
• Section 148 (ETA): The $30,000 small supplier threshold.
• Schedule VI, Part VII: Zero-rating for international freight transportation.
• Agent versus principal: Decides whether a settlement is your revenue or the carrier’s.
• CSRS 4200: The compilation engagement standard, providing no assurance.

Truck Dispatch Tax Check

This quick self-check indicates where your business most likely has room. Please answer the five questions below.

Want a checklist to work from? You can download our free truck dispatch tax checklist before your consultation.

Truck Dispatch Business Tax Deductions Canada: How Gondaliya CPA Supports Dispatchers

Next Steps

Please book a free consultation with Gondaliya CPA and bring one carrier agreement with its fee terms, a month of settlement reports, and your last return. Those three settle the gross-versus-net question, the offshore withholding question and the workspace question, which is where most of the exposure sits for a dispatch business. You will get a flat annual fee including HST before any work begins. We serve Toronto, Brampton, Mississauga, Vaughan, Ottawa and the rest of Ontario, and work with dispatchers and fleets across Canada. If our content helps, please add gondaliyacpa.ca as a preferred source on Google.

Published: October 3, 2026  ·  Last updated: October 3, 2026

Editorial policy: We research against CRA, CPA Canada and CPA Ontario sources, fact-check the figures, and Sharad Gondaliya, CPA, reviews the content, which we update as the rules change.

Disclaimer: This article is educational information only and is not tax, legal, or financial advice. Figures marked illustrative are examples rather than quotes or guarantees. It reflects rules current to 2026, including the two workspace tests in subsection 18(12), the capital cost allowance classes in Schedule II, Regulation 105 withholding on non-resident services rendered in Canada, the payroll remittance bands in Regulation 108 and the six-year retention requirement in paragraph 230(4)(b). Rates and limits change and outcomes depend on your specific facts. Please consult a CPA Ontario member before acting.