Can I claim business expenses that I no longer have receipts for?

Question: Can I claim business expenses that I no longer have receipts for?

Answer:

I wouldn't.

All of your claimed business expenses on your income tax return need to be supported with original documents, such as receipts. Without the "evidence" of receipts for your claimed business expenses, the Canada Revenue Agency may decide to reduce the amount of expenses you have deducted.

Not having receipts to back up your claimed business expenses would also make the audit process more difficult and protracted. The Canada Revenue Agency regularly audits a certain number of income tax and GST/HST accounts each year to monitor compliance and serve as a quality check on the tax system; if your business is selected to be audited, you will certainly want to have all your records in order.

Auditing aside, keeping complete and accurate business records is a requirement for running a successful small business.

Back to > Canadian Income Tax FAQ Index

Back to > Small Business Canada FAQ Index