How Long Do You Need to Keep Receipts in Canada?
Knowing exactly how long to keep receipts and tax records protects you during CRA audits while letting you safely dispose of documents you no longer need. The rules are more nuanced than you might think.
Sarah Tremblay
CPA, Tax Advisor
The standard rule under the Income Tax Act is that self-employed Canadians must keep all records and supporting documents for six years from the end of the last tax year to which they relate. This means receipts from your 2024 business expenses must be kept until at least December 31, 2030. But there are important exceptions and nuances that every freelancer should understand.
The Six-Year Rule — What It Actually Means
The six-year clock starts from the end of the tax year to which the document relates — not the date of the transaction. For most freelancers who file on a calendar year, a receipt dated March 15, 2024 relates to the 2024 tax year, so it must be kept until December 31, 2030. Records related to your GST/HST filing periods follow the same six-year rule from the end of the reporting period.
Exception: If you file a return late, the six-year retention period starts from the date you actually filed — not the deadline. If you filed your 2022 return in September 2023, keep those records until September 2029.
Records You Must Keep Longer Than Six Years
- Capital assets (property, equipment): keep records for as long as you own the asset, plus 6 years after disposal
- Vehicle logbooks: keep for 6 years from the end of the year in which the vehicle was sold
- Corporate records for incorporated businesses: permanently (minutes, share registry, etc.)
- Records related to a loss carryforward: keep until the loss is fully applied plus 6 years
- Real property records: keep for 6 years after the property is disposed of
What Happens If the CRA Wants Records You've Destroyed?
If you're audited and can't produce required records, the CRA may deny your deductions and reassess your taxes, potentially adding interest and penalties. The burden of proof in a tax dispute lies with the taxpayer — not the CRA. This is why digitizing your receipts with a reliable app is so important. A searchable digital archive is far more audit-proof than a shoebox of faded paper receipts.
- Store digital records in a format that cannot be altered (PDF preferred)
- Ensure your backup includes the date the image was captured
- Keep digital records in at least two locations (e.g., cloud + local backup)
- Export an organized record at the end of each tax year before filing