Learn from the Senate expense scandal

The Senate expense scandal currently sweeping through Parliament Hill is a masterclass in how not to mix business and personal expenses.

Auditor General Michael Ferguson and his team have uncovered nearly $1 million of questionable expenses that 30 senators charged to Canadians between 2011 and 2013. Many of those senators deny that their claims were improper, and some have paid back expenses in full or in part.

Maclean’s reports that expenses under scrutiny include $468 for a family dinner allegedly charged to taxpayers, and $5,755 in hotel rooms that may have been for trips related to a senator’s law practice.

For a list of the five senators who owe the most, click here.

While you may not have clients in public office, CRA has strict rules about how to claim business expenses like travel, meals and even office supplies. Ensure they know the rules.

Also read:

How to deduct business expenses

CRA launches plan to help small biz

What to do when your client’s a landlord

Staff

The staff of Advisor.ca have been covering news for financial advisors since 1998.