In response to a query as to whether free employer-provided parking was a taxable benefit, CRA stated:
[T]here is no taxable benefit for an employee when both of the following conditions are met:
- The employer provides parking to its employee for business purposes.
- The employee regularly has to use his or her own automobile or one the employer usually supplies to do his or her duties.
... [W]e do not consider that parking offered to facilitate working irregular or extended hours is parking for business purposes. ...
For parking, the benefit amount is usually based on the fair market value ("FMV") of parking, less any amount the employee pays to use it. In general, the FMV of a parking space is the price that could be reasonably charged for the use of that space in an open and unrestricted market (i.e., the market price for a similar space in the surrounding area having the same conditions of use as for the space provided by the employer).