Expense Tracking
A structured approach to categorizing expenses, keeping receipts, and maintaining records that satisfy CRA requirements for small businesses.
Bookkeeping Basics for Canadian Small Business Owners
Clear, practical information on expense tracking, GST/HST registration, and choosing accounting tools — written for owners who run the numbers themselves.
Recent Articles
Straightforward overviews of the bookkeeping topics that come up most often for small businesses in Canada.
GST/HST
When registration is required, how input tax credits work, and what filing schedules apply depending on your annual revenue threshold.
Accounting Software
A comparison of commonly used accounting tools, covering pricing structure, GST/HST support, and practical considerations for sole proprietors and incorporated businesses.
GST/HST: the threshold most new businesses miss
Once annual taxable revenue exceeds $30,000 across four consecutive calendar quarters, registration with the CRA is no longer optional. Many sole proprietors discover this obligation after the fact — often when preparing their first T2125. Understanding the threshold in advance avoids the penalties and interest that come with late registration.
Read the full breakdownThree areas worth getting right from the start
These topics account for the majority of bookkeeping questions that arise in the first two years of a small business in Canada.
Separating personal and business finances
A dedicated business bank account and credit card eliminates the most common source of bookkeeping errors. Mixed transactions take disproportionate time to untangle during tax season.
Recording transactions as they happen
Weekly entry, even in a simple spreadsheet, produces a more accurate picture than quarterly reconciliation. Memory and reconstructed receipts are unreliable over 90-day gaps.
Understanding what is and is not deductible
The CRA distinguishes between capital expenses and current expenses, and between personal use and business use. Misclassifying either category creates discrepancies that attract review.
Expense records that hold up to scrutiny
The CRA can request supporting documentation for any expense claimed on a return — for up to six years after the filing date. That means a receipt lost in 2026 may create a problem in 2032. Digital copies stored systematically, with the date, amount, vendor, and business purpose noted, satisfy the documentation standard without requiring original paper.
Expense tracking guideContact
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