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Can I deduct my entire mobile phone and internet bill?

Phone and Internet Costs for a Business. Understand the Canadian tax rules, records to gather and practical next steps before preparing your return.

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Arsen Accounting Services · Prepared October 29, 2026

Self-employed expenses: 10 questions before filing · Browse the 100-article collection

The direct answer

Only the business portion of a mixed-use expense is generally deductible. A separate business phone, shared household internet and the cost of buying a device can have different treatment. Use a reasonable basis that reflects actual use and keep supporting bills. Do not claim the same cost again as part of home-office expenses.

Choose a supportable business-use method

A phone or internet connection can support both client work and household use. Explain how the service is used and what evidence supports the business portion. A separate business line may be easier to document, but the account label alone does not establish the deduction. Keep the method consistent with your actual use and revisit it when circumstances change.

Separate equipment from monthly service

A monthly service bill and the purchase of a device are different transactions. Give the preparer the equipment invoice rather than burying the purchase in a recurring phone total. Identify bundled plans, family lines and reimbursements. This helps distinguish the expense calculation from any capital-asset treatment and avoids claiming costs that belong to another person.

What to gather before the review

  • Monthly bills and relevant account breakdowns
  • Notes supporting the business-use percentage
  • Separate device invoices and reimbursements

Can I use a convenient round percentage every year?

The percentage needs a reasonable basis in the facts. Explain how it was determined, retain supporting records and update it if your work pattern or household use changes materially.

Your next step

Write down how you determined the business percentage and flag device purchases separately from monthly service charges.

Related reading

Official sources

Self-employed Business, Professional, Commission, Farming, and Fishing Income: Chapter 3 – Expenses

Sources checked for this collection on October 28–29, 2026. Annual forms may refer to a specific tax year. Use the rules and limits for the year being filed. General information; eligibility, elections and deadlines depend on the facts. No deduction or tax saving is guaranteed.

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