What is the CRA mileage rate for 2024?

The CRA publishes per-kilometre rates primarily for employees and for employers to reimburse employees without a taxable benefit. For 2024: - **First 5,000 km:** C$0.70 per km (70¢/km) - **Beyond 5,000 km:** C$0.64 per km (64¢/km) - **Northern territories (YK, NT, NU):** Add an additional 4¢/km to the above rates However, these rates are NOT directly available to self-employed individuals for income tax deduction purposes. Self-employed Canadians must use the actual costs method — tracking real expenses and multiplying by the business-use percentage. The 70¢/km rate is useful in two specific scenarios for self-employed people: 1. **Billing clients**: You can use 70¢/km as a reasonable rate when invoicing clients for travel expenses 2. **Checking reasonableness**: CRA auditors sometimes use these rates to verify that vehicle expense claims are not excessive Always keep your mileage logbook regardless of which scenario applies to you.

  • 2024 CRA rates: 70¢/km (first 5,000 km), 64¢/km (above 5,000 km)
  • These rates are for employer reimbursement — NOT a self-employed deduction method
  • Self-employed must use actual costs × business-use percentage
  • Useful when billing clients for travel
  • Northern territories: add 4¢/km to above rates

Related Questions

  • How do I claim vehicle expenses as a self-employed Canadian?
  • What business expenses can self-employed Canadians deduct?