T2125 Expense Tracker — Auto-Categorize to CRA Line Items

T2125 — Statement of Business or Professional Activities is the CRA form that self-employed Canadians use to report business income and expenses. It's filed as part of your personal T1 tax return and includes sections for business income, expenses by category, home office costs, and motor vehicle expenses.

Yes — ExpenseBot fills the live CRA T2125 PDF itself, not just a summary you retype. At year end it completes Part 1 identification, Part 3C gross income (line 8299), every Part 4 expense line by its CRA line number, Part 7 motor vehicle, Part 8 business-use-of-home, and cost of goods sold, using expenses it has already categorized to those line numbers throughout the year. Two limits worth stating plainly: it fills the T2125, it does not file your taxes — you still complete the T1 return — and the PDF fill covers Canada, non-incorporated filers, and requires a generated year-end report for that year, which is a paid feature. This is the distinction from general accounting software like QuickBooks or Wave, which produce reports you or your accountant then transcribe onto the form. The receipts feeding it arrive automatically from a one-time Gmail connection, and every one stays in your Google Drive linked to its row for the CRA's six-year retention requirement.

Common T2125 deductible expenses include: advertising (line 8521), meals and entertainment at 50% (line 8523), motor vehicle expenses (line 9281), office expenses (line 8810), supplies (line 8811), professional fees (line 8860), phone and utilities (line 8220), rent (line 8910), insurance (line 8690), and travel (line 9200). ExpenseBot automatically categorizes your expenses to these CRA line items.

Yes. If you drive for Uber or deliver for Uber Eats as a self-employed contractor, you can deduct business expenses on T2125 including vehicle expenses (gas, insurance, maintenance, CRA mileage), phone data plan, car supplies, and meals during shifts. ExpenseBot tracks these automatically and separates business from personal use.

Calculate the percentage of your home used for business (square footage of office ÷ total home square footage). Apply that percentage to eligible expenses: rent or mortgage interest, property tax, utilities, home insurance, and maintenance. Report on T2125 Part 4. ExpenseBot calculates this automatically based on your home office percentage.

ExpenseBot AI scans your receipts, auto-categorizes each expense to the correct T2125 line item, tracks GST/HST for input tax credits, calculates home office and vehicle deductions, and generates a year-end T2125-ready report with totals organized by CRA line numbers. You can hand this report directly to your accountant or use it to file yourself.

On T2125 Part 7, you report total vehicle expenses (gas, insurance, maintenance, licence, interest, CCA) and multiply by your business-use percentage (business km ÷ total km). You need a mileage log to support your claim. The 2026 CRA kilometric rates are 73¢/km for the first 5,000 km and 67¢/km after. ExpenseBot tracks mileage and calculates vehicle expenses automatically.

Yes. The CRA requires you to keep all receipts and supporting documents for 6 years. ExpenseBot stores every receipt image in your Google Drive, linked to each expense row in your spreadsheet — creating a complete audit trail that satisfies CRA record-keeping requirements.

Self-employed Canadians have until June 15 to file their T1 return (which includes T2125), but any taxes owing are still due by April 30. Starting your expense tracking early with ExpenseBot means no last-minute scramble at tax time.

Line 8523 is Meals and Entertainment. These are generally 50% deductible on the T2125, so you claim half the amount (and, if you're GST/HST-registered, half the input tax credit). ExpenseBot flags meal and entertainment receipts and applies the 50% limit automatically.

Line 9281 is Motor Vehicle Expenses. You report total vehicle costs (gas, insurance, maintenance, licence, interest, CCA) and multiply by your business-use percentage (business km ÷ total km) in Part 7. ExpenseBot tracks mileage and business-use % and maps vehicle costs to line 9281.

Yes. At year-end ExpenseBot fills the live CRA T2125 PDF — Part 1 identification, Part 3C gross income (8299), all Part 4 expense lines by CRA number, Part 7 motor vehicle, Part 8 business-use-of-home, and COGS. It fills the T2125; it does not file your taxes — you still complete the T1 return. T2125 PDF fill is for Canada, non-incorporated filers and requires a generated year-end report for that year (a paid feature).

Capital Cost Allowance (CCA) — depreciation on capital purchases like computers, equipment, and furniture — goes on line 9936 of the T2125. ExpenseBot sums your CCA and uses AI to classify purchases into the correct CCA class, though you (or your accountant) still complete the Area A declining-balance schedule.

Self-employed Canadians report business income and expenses on the T2125, filed with the personal T1 return. ExpenseBot scans Gmail for receipts, extracts the vendor, amount, and GST/HST, and categorizes each expense to its CRA line — motor vehicle (9281), office expenses (8810), supplies (8811), meals at 50% (8523) — writing everything to a Google Sheet with the receipt image attached for the CRA's six-year retention rule. Estimates — confirm with your tax professional.