Cash back business credit cards convert your business spending into direct dollar returns — no points valuations, no reward portals, no expiry dates. For Canadian small business owners who prefer simplicity over travel rewards, cash back is often the best strategy.
Best Cash Back Business Credit Cards — Quick Comparison
| Card | Annual Fee | Top Cash Back Rate | Best For |
|---|---|---|---|
| TD Business Cash Back Visa Infinite | $149 | 3% gas, 3% office supplies, 3% recurring bills | High spend on gas and office |
| RBC Business Cash Back Mastercard | $0 | 1% everywhere | Simple no-fee flat-rate |
| BMO CashBack Business Mastercard | $0 | 1.75% everywhere | Best no-fee flat-rate business card |
| CIBC Business Mastercard | $0 | Basic cash back | CIBC banking clients |
Verify current earn rates and annual fees at each issuer’s website before applying.
TD Business Cash Back Visa Infinite
Annual fee: $149 | Network: Visa Infinite
The TD Business Cash Back Visa Infinite is Canada’s premium cash back business card. It earns 3% cash back on gas station purchases, office supply store purchases, and recurring bills (internet, phone, subscriptions) — three of the largest spending categories for most Canadian small businesses. All other purchases earn 1% cash back.
Annual cash back estimate (based on $3,000/month in eligible categories + $2,000/month elsewhere):
- $3,000/month at 3% = $90/month = $1,080/year
- $2,000/month at 1% = $20/month = $240/year
- Total: $1,320/year cash back — net $1,171 after $149 fee
Key features:
- Employee supplementary cards — additional cards earn at the same rate
- Cash back paid as statement credit — automatically applied annually
- TD Business banking integration — links to commercial chequing accounts
- Travel insurance package — emergency medical, trip cancellation, car rental
Best for: Businesses spending heavily on gas, office supplies, and subscription-based services (cloud software, phone plans).
BMO CashBack Business Mastercard
Annual fee: $0 | Network: Mastercard
The BMO CashBack Business Mastercard is the best no-fee cash back business card in Canada, earning 1.75% cash back on all eligible purchases — among the highest flat-rate returns of any no-fee Canadian business card.
Annual cash back estimate (based on $5,000/month total business spend):
- $5,000/month at 1.75% = $87.50/month = $1,050/year — with no annual fee
Key features:
- Flat-rate earn — no category tracking needed
- No annual fee — full return retained from day one
- BMO banking integration — pairs with BMO Business chequing
- Year-end business spending summary — useful for CRA expense reporting
Best for: Small businesses and sole proprietors who want simple, predictable cash back with no annual fee.
RBC Business Cash Back Mastercard
Annual fee: $0 | Network: Mastercard
The RBC Business Cash Back Mastercard earns 1% cash back on all eligible purchases with no annual fee. While the earn rate is lower than BMO’s offering, it is a strong choice for RBC business banking clients who want seamless integration with RBC’s commercial products.
Best for: RBC business banking clients who want no-fee cash back with minimal complexity.
Cash Back vs. Travel Rewards for Canadian Businesses
| Factor | Cash Back | Travel Rewards (Aeroplan/MR) |
|---|---|---|
| Value per dollar | Fixed (1–3%) | Variable (0.5–5¢/pt depending on redemption) |
| Complexity | Low — automatic statement credit | Higher — must learn programme rules |
| Best value scenario | Consistent high spend on specific categories | Business flights redeemed in premium cabin |
| Worst value scenario | Rarely — cash is always worth face value | Letting points expire or redeeming for low-value items |
| Employee cards | Yes, on all major cards | Yes |
| Redemption flexibility | Maximum — cash works everywhere | Limited to travel or rewards portal |
General rule: If your business spends more than $100,000/year on travel (flights, hotels), travel rewards cards typically outperform cash back by a wide margin. Below that threshold, cash back is simpler and often delivers competitive or superior net value.
Is Cash Back from a Business Card Taxable in Canada?
The Canada Revenue Agency (CRA) generally treats cash back earned on business credit cards as a reduction in business expense rather than taxable income. This means you should reduce your claimed business expenses by the cash back amount received — the net expense is what’s deductible.
For example: if you spend $10,000 on office supplies and receive $300 cash back, the deductible office expense is $9,700, not $10,000.
This treatment is consistent with CRA guidance, but tax situations vary. Consult a CPA or tax professional for your specific circumstances.
Frequently Asked Questions
What is the best cash back business credit card in Canada? For businesses with significant gas, office supply, and recurring bill spending, the TD Business Cash Back Visa Infinite ($149/yr) delivers the highest returns — 3% in three major categories. For businesses that prefer no annual fee and simple flat-rate cash back, the BMO CashBack Business Mastercard ($0) at 1.75% on everything is Canada’s best no-fee business cash back option. Verify current rates before applying.
Can I get a business cash back credit card as a sole proprietor? Yes. Most Canadian business cash back cards are available to sole proprietors and self-employed individuals. You typically apply with your personal income and credit history plus your business name and type. A GST/HST number or Business Number is generally not required for sole proprietors. The card issuer will typically require a personal guarantee.
How is cash back paid on business credit cards in Canada? Most Canadian business credit cards pay cash back as an annual statement credit. TD typically applies the credit in the month following the anniversary date. Some cards pay cash back quarterly or allow redemption on demand. Check the specific card’s terms for timing and minimum redemption thresholds.