Guide

What mileage records does the CRA require in Canada?

Q: What mileage records does the CRA require in Canada?

The CRA requires you to record the date, destination, and business purpose for every business trip. TradesTimer automates this by using background GPS to track your stops and mileage without manual input.

By Ryder Wishart — trades experience and contractor office administration · Updated 2026-11-04

Mandatory log details

A valid mileage log must include the date, destination, and the specific business purpose for each trip. You must also track the total distance traveled for business use.

Failure to record these specific details can make it difficult to substantiate your claims during a CRA audit.

Frequency of updates

Records should be kept contemporaneously, meaning you should review and finalize your logs at least weekly. This ensures your data remains accurate and reflects your actual workday.

Note: This information is general and does not constitute tax advice.

CRA employer allowance rates

The CRA's per-km rates (2026: 73¢ first 5,000 km, 67¢ after; add 4¢ in NT/NU/YT) are the reasonable allowance rates employers may pay employees tax-free. These are NOT self-employed deduction rates. If you're self-employed, you deduct actual vehicle expenses × (business km ÷ total km) on T2125 line 9281, plus business parking and supplementary insurance in full. See canada.ca/en/revenue-agency/services/tax/businesses/topics/sole-proprietorships-partnerships/report-business-income-expenses/completing-form-t2125/motor-vehicle-expenses-including.html

FAQ

Do I need to manually start a timer for each job?

No, TradesTimer uses background GPS to automatically detect stops and trips as you work.

Does the app store my location data in the cloud?

No, all location data stays on your device; there is no account or cloud storage required.

Last updated 2026-11-04.