Self-employed · T2125
Expense Sorter (T2125)
Drop your bank or credit card statement and get your business expenses sorted into CRA's T2125 lines, with an estimate of the GST/HST you can claim back.
1Your statement
How the sorter works
Download a CSV of your business bank or credit card account from online banking. The file is read in your browser; nothing is uploaded.
Each transaction is matched to a T2125 expense line by the merchant name (for example phone and internet to Telephone and utilities, gas to Motor vehicle expenses), and you can change any of them. Meals and entertainment are generally only 50% deductible.
If you're registered for GST/HST, you can usually claim back the sales tax you paid on business purchases as input tax credits. We estimate it from your province's rate; items like insurance, bank charges and salaries carry no GST/HST.
Sources: CRA: Form T2125 · CRA: Business expenses
Frequently asked questions
What is form T2125?
The Statement of Business or Professional Activities, filed with your personal return to report self-employment income and expenses.
Which expenses can I deduct?
Reasonable costs to earn business income, such as advertising, office expenses and supplies, phone and internet, professional fees, travel and the business share of vehicle costs. Personal expenses can't be deducted.
Are meals fully deductible?
Generally no: meals and entertainment for business are usually limited to 50% of the cost.
Is my bank statement uploaded anywhere?
No. The CSV is read in your browser and never leaves your device.
Keep planning your taxes
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