Nurses spend a lot on their careers: licence fees, certifications, scrubs, shoes and continuing education. Some of it can lower your taxes and some can't. The rules are very different in Canada and the US.
Canada: what nurses can often claim
- Union dues and professional membership dues (for example, your annual nursing college registration fee) are deductible on line 21200. Union dues are usually shown on your T4.
- Tuition credit: eligible post-secondary courses and some certification exams. Unused credits can carry forward.
- Student loan interest credit: interest paid on government student loans.
- Moving expenses: if you moved at least 40 km closer to a new job or school.
- Childcare expenses, which matter a lot for shift-working parents.
- Medical expenses above a minimum threshold.
- RRSP and FHSA contributions reduce your taxable income (see RRSP vs TFSA and FHSA).
What Canadian nurses usually can't claim
Scrubs, shoes, stethoscopes and commuting costs generally aren't deductible for employees. Employment expenses are only deductible in limited cases, where your contract requires you to pay them and your employer signs Form T2200.
US: what nurses can often claim
- Qualified overtime deduction (2025 to 2028): the premium portion of FLSA overtime, up to $12,500 single or $25,000 joint. See our no tax on overtime guide.
- Retirement contributions: traditional 403(b), 401(k), 457(b) and, depending on income, IRA contributions.
- HSA contributions if you have a qualifying high-deductible health plan.
- Student loan interest: up to $2,500 a year, subject to income limits.
- Education credits, such as the Lifetime Learning Credit for eligible courses.
- Side-hustle business expenses if you're self-employed, for example as a tutor or content creator.
What US nurses usually can't claim
If you're a W-2 employee, unreimbursed work expenses like scrubs, licence fees, CEUs and equipment generally aren't deductible on your federal return. Some states allow certain employee expenses, so check your state's rules. Ask your employer about reimbursement for licences, certifications and CEUs; many hospitals offer it.
Travel nurses
Travel nurse taxes have their own rules around tax homes and stipends. Read our travel nurse tax guide.
Keep good records
- Save receipts for licence fees, courses, exams and moving costs.
- Keep all pay stubs, especially if you work overtime or several jobs.
- Store your T4, T2202 and T5 slips (Canada) or W-2, 1098-E and 1099 forms (US) in one folder.
The bottom line
In Canada, your dues and education costs can lower your tax. In the US, your biggest wins usually come from retirement contributions, the new overtime deduction and education credits. When in doubt, ask a tax professional.
Working out your overtime? Start with the free Nurse Shift Pay Calculator.
This article is for general education and isn't tax advice. Tax rules change and depend on your situation; confirm with the CRA, IRS or a tax professional. Information current as of October 2026.