Self-employment - Expenses for leased motor vehicleWe assume that you have already completed the first two subsections under "Self-employment income" and that you now want to complete the "Motor vehicle expenses" subsection.
1 - On the "Left side menu of the Interview tab", under "Self-employment income", choose "Motor vehicle expenses" and on the screen to your right, select "Leased passenger vehicle".
2 - On the first part of the "Leased passenger vehicle" page, enter the information about your vehicle and the "Level at which the expense is claimed". Make sure that the total distance travelled during the year as well as the distance travelled specifically for business purposes are entered correctly;
3 - In the section "Motor vehicle expenses incurred" of this page, enter the expenses incurred for the vehicle in the taxation year;
4 - On the third (3rd) section, enter the relevant information;
4.1 - On the line "Total leases charges in the current year", enter the rent amount for the taxation year including taxes;
4.2 - On the line "Lease payments already deducted in prior years", enter the total amount you claimed for this vehicle before the current tax year;
4.3 - On the line "Beginning of leasing contract (dd-mm-yyyy)", enter the beginning date of the rental;
4.4 - On the line "End of leasing contract (dd-mm-yyyy)", enter the ending date of the lease;
4.5 - On the line "Manufacturer's suggested retail price", enter the vehicle's retail price without taxes.We recommend that you keep a record of all expenses and a daily mileage log.
For more information on vehicle expenses, see the following link:
The program will transfer the amount on line 9281 of the federal form T2125 as well as line 220 of Quebec's TP-80. In addition, on page 7 you will have the details of the expenses relating to the vehicles.
ID: 20211005153745DE.xml
Webpage: KPA320-20211005153745DE.htm