Managing your rental
What the Canada Revenue Agency lets landlords deduct on Form T776, including management fees, and how a current repair differs from a capital cost.
By the Tenant.ca teamUpdated 2 min read
If you earn rent, you report it on Form T776, Statement of Real Estate Rentals, with your income tax return, and deduct your rental expenses against it. The Canada Revenue Agency's pages set out what counts.
These are the headings on the CRA's page of rental expenses you can deduct. Each has its own conditions, so read the entry before you claim.
Yes. The CRA says you can deduct the amounts paid to a person or a company to manage your property. Keep the agreement and the statements showing what you paid.
The CRA separates current expenses, which you deduct in the year, from capital expenses. A capital expense generally gives a lasting benefit, while a current expense usually recurs after a short period. A repair that restores a property to its original condition is usually current; one that improves it beyond that is probably capital.
The CRA's own examples: painting the exterior of a wooden house and repairing wooden steps are current expenses. Putting vinyl siding on that house, replacing wooden steps with concrete ones and buying a refrigerator for the rental are capital expenses.
Rent received, each invoice, your insurance, property tax and interest statements, and what you paid a manager. Under Tenant.ca's management, payments, requests and documents are in your owner portal, which makes the year easier to assemble.
If you live outside Canada, different rules apply to the rent you receive.
This page is general information, not tax advice. It reflects the Canada Revenue Agency's pages as read on November 4, 2026. An accountant can apply the rules to your own return.
