Tracking Mileage for Tax Deductions
If you use your personal vehicle for work or business, you may be able to claim vehicle (mileage) expenses on your tax return. The Canada Revenue Agency (CRA) requires a detailed mileage log to support this claim. Using a mileage tracking app can make this easier and help you stay organized. However, if you are an employee, you need a T2200 Declaration of Conditions of Employment from your employer in order to report expenses on your tax return.
Does CRA Accept Mileage Apps?
CRA does not officially approve specific
apps. However, CRA does accept digital mileage logs as long as they include all
required details. Many commonly used mileage apps are designed to meet these
requirements.
What Information Must Your Mileage Log Include?
- Date of each trip
- Start and end location
- Purpose of the trip (work-related)
- Kilometers driven
- Business vs personal use
Good mileage apps automatically record most of this information and allow you to export reports if CRA asks for proof.
Recommended Mileage Tracking Apps
Many Canadian taxpayers successfully use
the following apps:
• Driversnote – Automatically tracks trips and creates CRA-ready reports
• MileIQ – Easy swipe to mark trips as business or personal
• Everlance – Tracks mileage and expenses together
• MileLog – Simple tracking with exportable reports
• QuickBooks Mileage Tracker – Built into QuickBooks for those already using it
These apps work on most smartphones and allow you to download mileage reports
as PDF or Excel files.
Important Tips to Avoid CRA Issues
• Start tracking at the beginning of the
year
• Review and label your trips regularly
• Keep copies of your exported mileage reports
• Record your vehicle’s odometer reading at the start and end of the year
Please note: trips from home to a regular work location are not deductible.
Only travel between work locations or clients qualifies.
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