Computer and other equipment leasing costs

You may lease:

• computers;
• cellular telephones;
• fax machines; and
• other equipment.

If so, you can deduct the percentage of the lease costs that reasonably relates to earning your business income. You can also deduct the percentage of airtime expenses for a cellular telephone that reasonably relates to earning your business income.

If you buy a computer, cellular telephone, fax machine, or other such equipment, you cannot deduct the cost. You can deduct capital cost allowance and interest you paid on money you borrowed to buy this equipment that reasonably relates to earning your business income.

Forms and publications

• Guide T4002, Business and Professional Income
• Form T2125, Statement of Business or Professional Activities

Related topics

• Claiming capital cost allowance (CCA)
• Line 8710 - Interest