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Other expenses
Telephone
You can claim the cost of long-distance telephone calls that relate to your daycare. However, you cannot deduct monthly telephone service charges unless you use the telephone only for your business.
You can also deduct the percentage of airtime expenses for a cellular telephone that reasonably relates to earning your business income.
If you lease a fax machine, you can deduct the percentage of the lease costs that reasonably relates to earning your business income. However, you cannot deduct the cost of such equipment if you buy it.
Training
You may be able to deduct the cost of taking a course or seminar on child care. For more information, see Interpretation Bulletin IT-357R2, Expenses of Training.
However, you cannot deduct tuition fees you paid to educational institutions such as universities and colleges. You may be able to claim a tax credit for these fees. For more information, see "Line 323 - Tuition, education, and textbook amounts" in the General Income Tax and Benefit Guide.
Private health services plan
Self-employed individuals who pay premiums to a Private health services plan, may be able to deduct those premiums from their business income. For more information, see Guide T4002, Business and Professional Income.
Report this expense on line 9270 of Form T2125, Statement of Business and Professional Activities.
Other reasonable expenses
It is often difficult, for example, to separate the cost of feeding your own children from the cost of feeding children in your daycare program when groceries are bought together or if your own laundry is done at the same time as laundry used during the course of business. As long as the expense claimed associated with these daycare related activities are reasonable, it will be allowed.
