Tax Deductions Most Overlooked By Entrepreneurs
Posted On: 30/09/25 - 0

A tax deduction simply put is deducting business expenses from your business income. You then pay tax on that profit. This is all prepared and reported to the Canada Revenue Agency for that business tax year. Learn how to minimze your tax liability by utilizing tax deductions most overlooked by entrepreneurs.

Professional Fees

Another eligible tax deduction is professional service fees. Some of these tax deductible fees would include, legal, bookkeeping, accounting and business development consulting fees.

Health Spending Accounts

Looking to minimize health expenses? This is an affordable way for entrepreneurs to reduce the cost of their medical and dental expenses. As a result, these expenses are 100% tax deductible .

Bad Debt

There are requirements for the Canada Revenue Agency to accept bad debt as a tax deduction. The business claiming the deduction has to provide evidence to support the claim. Proof is required of genuine attempts that have been made to collect the outstanding funds. Keep all documents of proof that the customer received services or product from your business. Keep track of all efforts you have made to collect the outstanding balance owed.

Interest

Interest you pay on money used to generate income may be tax deductible on your corporate tax return. It could include interest on a line of credit used to run the business. This could apply to interest on a loan to purchase business equipment. Interest on a mortgage used for a property that is solely for business purposes is another consideration.

It is extremely important for you and your business to have a solid relationship with an experienced tax advisor. Make sure they have the proper certification and up to date education to assist you in identifying your legitimate corporate tax deductions. Call us today for a no charge consultation on how to minimize your tax liabilities.

12203-107 Avenue.
Edmonton, Alberta.
T5M 1Y9

Call us:
780.482.7297