Web Developer

Tax guide for Canadian freelance web designers

Allowable Expenses

• Design tools — Figma, Adobe XD, Sketch, Webflow subscriptions
• Fonts & assets — Commercial font licences, icon sets, design asset packs
• Hosting & domains — Client test environments, your own portfolio hosting
• Computer equipment — Mac/PC (CCA Class 50), external monitor, keyboard
• Professional development — Design courses, UX workshops, Awwwards memberships
• Hosting & domain fees — Managed hosting, domain registrations, and SSL certificates purchased for client projects

Tax Tips

• Figma, Adobe XD, and similar SaaS subscriptions are immediately deductible in the payment year
• Purchase a separate domain and hosting plan for your portfolio — 100% deductible
• Attend local tech or design meetups — registration and travel costs are deductible
• Consider registering for GST/HST voluntarily to claim ITCs on software and hardware purchases

Frequently Asked Questions

Can I deduct Figma and Adobe XD subscriptions in Canada?

Yes — software-as-a-service (SaaS) subscriptions used in your web design business are fully deductible as business expenses on Form T2125 in the year you pay them.