15 Things That Are Not Tax Deductible in Canada

Many Canadians hope to squeeze every last cent out of their returns when tax season rolls around. It’s tempting to assume that if money went out of your pocket, it should return somehow, but tax law isn’t based on feelings; it’s based on facts, rules, and a lot of fine print.

Think of the Canada Revenue Agency (CRA) as a strict gatekeeper: it won’t let just anything pass through the deduction door. Below are 15 everyday things you can’t write off, no matter how logical they seem.

Personal Groceries

Buying organic kale and protein shakes for better productivity? The CRA doesn’t care. Unless you’re traveling for business or working in specific industries like long-haul trucking with allowable meal rates, food bought for personal consumption isn’t deductible. It’s part of your basic living costs, something the taxman assumes you’d pay for whether you’re working or not.

Clothing for Work

That new suit you bought to impress clients? Unfortunately, it doesn’t count. The CRA only permits deductions for specialized clothing, like uniforms or safety gear you can’t wear in daily life. No matter how essential it seems for your job, regular professional attire is still considered a personal cost.

Commuting Costs

Taking the GO Train every morning or filling your tank twice weekly to get to work might feel like a work expense. Still, regular commuting isn’t deductible, no matter how long or costly your trip is. Only travel explicitly for work (like visiting clients or different sites) may count, and that usually involves reimbursement from your employer.

Gym Memberships

Health is wealth, right? But your gym membership doesn’t lower your tax bill. Even if your doctor recommends more exercise, the CRA doesn’t consider fitness club fees a medical expense unless it’s part of a prescribed therapy for a severe condition. So, that hot yoga class? It’s great for your back but useless at tax time. 

Home Renovations (Generally)

Upgrading your kitchen or building a deck might add value to your home, but it won’t deduct anything from your taxable income, unless it’s for a home office or medical necessity. Even then, the rules are very tight. The Home Accessibility Tax Credit does exist, but it applies only to seniors and persons with disabilities, and it comes with a whole checklist.

Private School Tuition

Private elementary and secondary school tuition fees are not deductible unless the school provides religious training or a significant portion of the curriculum qualifies under special education programs. Many parents assume otherwise and get a rude awakening come tax time.

Wedding Expenses

You might’ve spent a small fortune on your big day, like the dress, the venue, and the DJ, but don’t expect any love from the CRA. Even if you’re self-employed and invited clients, wedding costs remain personal. The CRA is crystal clear: nuptials are not a business event, no matter how strategic your guest list looks.

Life Insurance Premiums

Life insurance premiums don’t qualify for a deduction unless the policy is used as collateral for a business loan and meets specific requirements. For most people, these premiums are seen as a personal financial choice. The CRA won’t consider it a valid deduction even if you’re protecting your family or estate.

RRSP Withdrawals

You might think you can claim withdrawals from your Registered Retirement Savings Plan (RRSP) as a deduction, but that’s a swing and a miss. While contributions reduce taxable income, withdrawals count as income. One exception is the Home Buyers’ Plan or Lifelong Learning Plan, which you pay back gradually. Otherwise, it’s fully taxable.

Interest on Personal Loans

Taking out a loan for a vacation, car, or even to pay off other personal debts? That interest won’t help you come April. Only loans that directly tie into investment income (like stocks or rental property) can sometimes be claimed. The CRA takes a forensic approach: if it smells personal, it’s out. 

Business Meals Without Clear Purpose

Meeting a friend who also happens to be a client? If the meal doesn’t have a documented business purpose; think receipts with names, notes, and goals, it probably won’t fly. Even legit business meals are only 50 percent deductible, and they must be reasonable. Lobster and wine for a casual chat? You’re on your own. 

Cosmetic Procedures

Are you considering writing off that Botox or laser skin treatment as part of your “professional upkeep”? The CRA isn’t buying it. Cosmetic procedures that aren’t medically necessary won’t be counted, no matter how much they boost your confidence or help you land client-facing gigs. There are exceptions for reconstructive surgery following accidents or illness, but beauty enhancements are not included. 

Political Contributions (Federal)

You might feel like a civic warrior, but federal political donations aren’t tax deductible; they’re eligible for a non-refundable tax credit, which is different. That credit reduces taxes owed but doesn’t reduce your taxable income. There’s a cap on the amount, and the percentage scales down as you give more.

Pets and Pet-Related Costs

We love our pets like family, and they probably listen better than your kids on a sugar high, but pet expenses, including vet bills, food, grooming, and boarding, aren’t tax-deductible. An exception exists for certified service animals, like guide dogs for individuals with disabilities. Your Shih Tzu with separation anxiety doesn’t qualify, no matter how cute.

Mortgage Payments on Personal Home

Your house might be your castle, but mortgage interest on a personal residence isn’t deductible. The only exception is if a portion of your home is used for a business, and even then, CRA wants exact calculations. Misreporting this can easily trigger an audit, and nobody wants that drama.

Disclaimer: This list is solely the author’s opinion based on research and publicly available information.

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