Vehicle Expenses Tax Deduction

You can deduct expenses incurred to operate a motor vehicle in pursuit of earning employment income. The types of expenses you can deduct include:

• fuel and oil;
• maintenance and repairs;
• insurance;
• licence and registration fees;
• capital cost allowance
• eligible interest you paid on a loan used to buy the motor vehicle.
• eligible leasing costs.

Use form T777 to calculate this deduction.