top of page

Top 10 Tax Deductions Canadians Forget to Claim

  • Writer: Arshya Mittal
    Arshya Mittal
  • Aug 17
  • 3 min read
ree

Every year, thousands of Canadians pay more tax than they should — simply because they miss out on deductions and credits they’re entitled to. Whether you’re an employee, self-employed, or a small business owner, these overlooked deductions can add up to hundreds or even thousands of dollars in savings.



At Mittal CPA Professional Corporation, we make sure our clients don’t leave money on the table. Here are the top 10 tax deductions Canadians often forget to claim.

1. Medical Expenses


  • Includes prescriptions, dental, vision care, and certain travel costs for medical treatment.

  • You can combine expenses for yourself, your spouse, and dependents.

  • Tip: Pick the 12-month period that gives you the biggest deduction.

2. Moving Expenses


  • If you moved at least 40 km closer to a new job, business, or school, you can deduct moving costs like transportation, storage, meals, and lodging.

3. Tuition & Education Credits


  • Students (or their parents) can claim tuition fees, exam fees, and transfer unused credits to a spouse or parent.

4. Home Office Expenses


  • Employees who worked from home in 2024 may claim a temporary flat rate or detailed method (utilities, internet, office supplies).

  • Self-employed individuals can deduct a portion of home expenses tied to business use.

5. Child Care Expenses

  • Daycare, summer camps, and babysitting costs may qualify, provided they were paid so you (or your spouse) could work or study.

6. Union & Professional Dues


  • Many Canadians forget to claim annual fees for professional associations, trade unions, or licenses.

7. Investment Expenses

  • Fees for managing non-registered investments (e.g., advisor fees, accounting fees related to investments) may be deductible.

8. Employment Expenses (with T2200)


  • If your employer requires you to buy certain supplies, travel, or use your car for work, you may deduct these expenses with a signed T2200 form.

9. Carrying Charges & Interest Expenses


  • You can deduct certain expenses related to earning investment income, such as:

    • Interest paid on money borrowed to earn investment income (e.g., margin loans).

    • Fees for investment advice and portfolio management (non-registered accounts).

    • Accounting fees related to investment income.

  • Many Canadians miss this deduction because they assume only capital gains/losses matter.

10. Disability Tax Credit (DTC)


  • For individuals with a severe and prolonged impairment.

  • Often overlooked, but can provide significant tax relief.

  • Can sometimes be claimed retroactively for up to 10 years.

Bonus: Small Business Owners & Self-Employed


  • Vehicle Expenses – gas, insurance, maintenance, and depreciation.

  • Meals & Entertainment – 50% deductible for client meetings.

  • Capital Cost Allowance (CCA) – depreciation on equipment, vehicles, and property.

FAQ: Forgotten Tax Deductions in Canada


Can I claim medical expenses for dependents like parents or children?

Yes. You can combine eligible expenses for yourself, your spouse, and dependents, which can increase your deduction.


Are moving expenses deductible if I moved within the same city?

Yes, as long as the move brought you at least 40 km closer to your new place of work or school.


What if I missed deductions in previous years?

You can request a T1 Adjustment for prior returns and claim missed credits for up to 10 years.


Can employees always claim home office expenses?

Only if you worked from home more than 50% of the time for at least 4 consecutive weeks, or if your employer required you to maintain a home office.

How Mittal CPA Can Help


At Mittal CPA Professional Corporation, we:

  • Review your tax return to make sure no deductions are missed.

  • Identify credits that apply to your situation.

  • File adjustments for past years if you left money unclaimed.

  • Provide year-end planning so you maximize deductions before December 31.


With the right advice, you can keep more of your hard-earned money.


Want to make sure you’re not missing tax deductions? Contact Mittal CPA Professional Corporation today — we’ll review your return and help you maximize your savings.



bottom of page