Trucking, Fleets & Owner-Operators
Trucking is one of the most audited industries in the Lower Mainland, and incorporated owner-operators driving for a single carrier face a specific trap: the personal services business rules, which can strip a corporation of its small business deduction and most of its expense claims. Getting the structure and the paper trail right up front is far cheaper than fixing it after a reassessment.
Trucking and logistics run on thin margins and long distances, and the tax rules reward operators who keep clean records of both. The meal claim alone is worth getting right every year.
How we help
- Owner-operator structure reviews with the personal services business risk assessed honestly
- Long-haul meal and travel claims documented the way the CRA expects
- Equipment financing and capital cost allowance planning for trucks and trailers
- Payroll, source deductions, and driver classification for growing fleets
- GST input tax credits on fuel, repairs, and equipment captured fully
- Representation when the CRA calls — reviews, audits, and everything in between
Common mistakes we see
- Under-claiming meals. Long-haul drivers can use the CRA's simplified per-meal method instead of keeping every receipt, and meals eaten during an eligible long-haul travel period are 80% deductible rather than the usual 50%. Employee drivers claim on Form TL2, certified by the employer; a sole proprietor deducts the meals on the business schedule, and an incorporated operator's company deducts them on the corporate return. Either way, a lot of drivers leave real money on the table here.
- Mixing the truck's operating costs with personal vehicle use without a logbook to separate them.
- Staying a sole proprietor past the point where incorporation would save tax and protect personal assets — common once an owner-operator adds a second truck.
- Not planning for fuel tax and inter-jurisdictional reporting (the International Fuel Tax Agreement) when routes cross provincial or U.S. lines.
The British Columbia angle
BC operators deal with provincial fuel tax, PST on certain equipment and repairs, and WorkSafeBC coverage for drivers. If you run into Alberta or the U.S., the reporting multiplies. We keep the filings straight so a roadside record doesn't become a tax problem.