You can deduct any reasonable current expense you paid or will have to pay to earn business income, although some expenses do have limitations. The amount you can deduct depends if it is considered a current year expense or capital expense. The expenses you can deduct include any GST/HST you incur on these expenses less the amount of any input tax credit claimed. Deduct only the business part of expenses from business income, you cannot deduct personal expenses. In addition, you cannot claim expenses you incur to buy capital property.