Can I deduct Stripe processing fees in Canada?

Yes — if you’re earning business income in Canada, Stripe processing fees are generally deductible as a business expense, as long as they were incurred to earn that income and you keep proper records.

Practical way to handle it:

• Report your gross sales/revenue, not just the amount Stripe deposits to your bank.
• Deduct Stripe fees separately as an expense, often under bank charges, merchant fees, payment processing fees, or professional/business fees depending on your bookkeeping setup.
• Keep Stripe statements, payout reports, invoices, and transaction exports showing the fees.
• If you’re registered for GST/HST/QST, check whether Stripe charged sales tax on its fees and whether you can claim an input tax credit or refund. This depends on what appears on your Stripe tax invoices and your registration status.

Example: if a customer pays $100 and Stripe deposits $96.80 after a $3.20 fee, you would generally record $100 of revenue and $3.20 of processing-fee expense.

For individuals with casual/non-business payments, the fees usually are not deductible unless the income itself is being reported as business or property income. For a corporation, partnership, or sole proprietorship, they usually are deductible when tied to business sales.