Expense rules in Canada.
All CRA and NJC rules: GST/HST 5–15%, $0.62/km mileage rate, Treasury Board per diem and VAT recovery in Canada.
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1Expense rules & reclaimable VAT
| Category | VAT | Reclaim | Cap / Note |
|---|---|---|---|
| Business meals | 5–15% | 50% deductible | CRA Income Tax Act |
| Travel meals | 5–15% | 100% reclaimable | NJC per diem cap |
| Accommodation | 5–15% | 100% reclaimable | Itemized invoice |
| Fuel | 5–15% | 100% reclaimable | Included in mileage |
| Train / VIA Rail / flight | 5–15% | 100% reclaimable | Passenger transport |
| Taxi / Uber | 5–15% | 100% reclaimable | Receipt required |
| Client gifts | 5–15% | Not deductible | CRA limit |
| Parking / toll | 5–15% | 100% reclaimable | Itemized invoice |
Federal GST
Federal rate applicable across Canada.
HST max
Combined GST + PST in Atlantic provinces.
Retention
CRA records: 6 years after tax year end.
2Mileage allowance
| Mode | Allowance | Cap | Note |
|---|---|---|---|
| Car (first 5,000 km) | $0,62/km | 5000 km | CRA reasonable rate |
| Car (above 5,000 km) | $0,56/km | — | Reduced rate |
| Territories +4¢ | $0,66 / $0,60/km | Variable | Territories bonus |
First 5,000 km
Standard rate 2024 first km.
Above 5,000 km
Rate after first 5,000 km annually.
Records
Date, destination, km, business purpose.
3Per diem and travel allowances
| Destination | Meal | Lodging / night | Daily rate |
|---|---|---|---|
| Canada — national | $108 | — | $108 |
| Toronto / Vancouver / Montréal | $108 | $220 | $328 |
| Foreign — New York | $130 | $310 | $440 |
| Foreign — London | $135 | $295 | $430 |
| Foreign — Paris | $120 | $280 | $400 |
Standard per diem
NJC national M&IE 2024.
Breakdown
Breakfast $25 / Lunch $30 / Dinner $53.
Incidentals
Daily incidentals component.
4Foreign VAT recovery
| Zone | Mechanism | Deadline | Method |
|---|---|---|---|
| Canada → EU | 13th Directive if registered | Variable | Direct filing per EU country |
| France | Reciprocity | 30 Sept. N+1 | Via impots.gouv.fr |
| United Kingdom | Reciprocity | 31 Dec. N+1 | HMRC VAT65A |
| Switzerland | Reciprocity | 30 June N+1 | FTA Form 1222 |
| USA | No recovery | — | Sales tax not recoverable |
| CA GST/HST for foreign | Limited Visitor Rebate | — | Program restricted since 2007 |
GST minimum
Min visitor refund (cancelled 2007 except conferences).
Conference rebate
Foreign Convention & Tour Incentive Program (FCTIP).
Typical ROI
Restricted program, limited ROI.
Industrialize your Canada expenses with Illizeo.
Provincial GST/HST, CRA $0.62/km mileage, NJC $108 per diem, multi-currency CAD↔USD↔EUR: all the rules above are natively integrated into Illizeo.
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