Alberta · Residential Tenancies Act

What a landlord can deduct from a damage deposit in Alberta

Last reviewed 20 September 2026

An Alberta landlord may deduct three things from a security deposit: unpaid rent, damage beyond normal wear and tear, and cleaning where the unit was left worse than it was received. Nothing may be deducted for damage unless both a move-in and a move-out inspection report were completed. Normal wear — faded paint, thinned carpet, loose hinges, small scuffs — is the cost of renting a unit out and cannot be charged to the tenant.

The three things you can deduct

  1. Unpaid rent and arrears. Including rent for a period the tenant left early without proper notice. This is not affected by the inspection requirement, but it still has to be itemized.
  2. Damage beyond normal wear and tear. Requires both inspection reports, and requires the move-in report to show the item in good condition.
  3. Cleaning. Only to bring the unit back to the standard it was received in — not to a higher one. If the move-in report says the carpets were professionally cleaned, you can charge to restore that. If it says "carpets — fair, some staining", you cannot.

Everything comes out on an itemized statement of account delivered with the balance within ten days of the tenant giving up possession — or, if a cost genuinely can't be known in time, an estimated statement within ten days and the final one within thirty.

The test: wear or damage?

The distinction isn't about how bad something looks. It's about cause.

Normal wear and tear is deterioration that happens from ordinary use over time by a reasonable tenant. Carpet flattens in traffic paths. Paint dulls and marks. Hinges loosen. Grout discolours. Caulking yellows. None of that is chargeable, however expensive it is to put right — it's what depreciation on a rental property means.

Damage is harm beyond ordinary use: negligence, accident, abuse, or alteration without permission. A burn, a tear, a hole, a missing part, a pet stain, a wall repainted a colour nobody agreed to.

Two questions settle most arguments. Would this have happened anyway to a careful tenant over the same period? And does the move-in report show this item in better condition than it is now?

Where the line actually falls

ItemNormal wear — not chargeableDamage — chargeable
WallsSmall nail holes from hanging pictures, scuffs, faded paintLarge anchor holes, holes through drywall, crayon or marker, unapproved repainting
CarpetThinning in traffic paths, flattened pile, minor fadingBurns, tears, pet urine, large stains that don't clean
Hard flooringLight scratching, dulled finishGouges, water damage from an overflowed tub, lifted boards
CountersLight scratches, minor dullingBurn marks, deep cuts, chips from impact
AppliancesWorn seals from age, faded panels, normal component failureCracked shelves, broken handles, damage from misuse, missing parts
DoorsLoose hinges, worn handles, minor scuffingHoles, split frames, doors off their tracks from force
Windows and blindsBrittle or faded slats from sunBroken slats, torn screens, cracked glass
BathroomDiscoloured grout, yellowed caulking, worn toilet seatCracked sink or tub, chips, mould from unreported leaks, missing fixtures
CleanlinessOrdinary dust and light soil from moving outUnit left dirty, grease build-up, rubbish left behind, fridge or oven not cleaned
Keys and remotesNormal wear on keysKeys, fobs or garage remotes not returned — the cost of rekeying
Smoke damageSmoking indoors against the agreement: cleaning, sealing and repainting
YardSeasonal diebackRubbish or abandoned items left, damage from vehicles or pets

General guidance. Every case turns on its own evidence, and on what the move-in report actually records.

You can't charge for a new one

Where a tenant genuinely damages something that was already part-worn, the charge is the tenant's share of the remaining value, not the full cost of replacement. This is the point most statements of deductions get wrong and it's the easiest one for a tenant to challenge.

Carpet is the classic example. A carpet with a typical ten-year useful life that was eight years old when the tenant burned it has two years of value left. Charging the full cost of a new carpet puts the landlord in a better position than before the damage — and that's not what a deposit is for.

Worked example. Carpet cost $2,000, useful life 10 years, age at move-out 8 years. Remaining value is 20%, so the defensible charge is around $400 — plus installation apportioned the same way — not $2,000.

The same logic runs through paint, appliances, flooring and blinds. If you're charging near the replacement cost of something that was years old, expect to be asked why.

What makes a deduction stick

Check your deductions before you send them

Our free calculator flags any line with no move-in evidence behind it, runs both statutory deadlines, and computes the interest owed on the deposit.

Open the deposit calculator

What you cannot deduct

The four most common mistakes

  1. Charging full replacement on an old item. Apportion for age.
  2. One line for everything. "Cleaning and repairs — $840" is not an itemized statement, and a tenant who challenges it usually wins the whole amount rather than part.
  3. Claiming for something the move-in report doesn't cover. One unsupportable line makes an adjudicator read the rest more sceptically.
  4. Missing the deadline while getting the numbers perfect. Ten days — for a full return or for the statement. Thirty days only applies to finalizing an estimate you already sent by day ten. A late statement loses regardless of how well it's built.

Frequently asked questions

Can a landlord charge for carpet cleaning in Alberta?

Only to restore the standard the unit was received in. If the move-in report shows professionally cleaned carpets, you can charge to return them to that. Routine cleaning between tenancies is a cost of doing business.

Can a landlord charge for repainting?

Not for ordinary fading and marking, which is normal wear. You can charge where a tenant painted without permission, or caused damage requiring repair and repainting — apportioned for the age of the existing paint.

Can a landlord deduct for nail holes in Alberta?

Small nail holes from hanging pictures are generally normal wear. Large anchor holes, many holes, or holes through the drywall are damage and can be charged.

Can a landlord charge the full cost of replacing damaged carpet?

Not usually. The charge should reflect the remaining useful life of the carpet at the time of the damage, not the cost of a brand-new one.

Can a landlord deduct for unpaid rent as well as damage?

Yes. Unpaid rent may be deducted, and unlike damage it is not conditional on the inspection reports — though it must still be itemized separately on the statement.

What if the tenant disagrees with the deductions?

Either party can apply to the Residential Tenancy Dispute Resolution Service, which handles claims up to $100,000. The case turns on documentation: inspection reports, dated photographs and invoices.

Can a landlord keep the whole deposit automatically?

No. There is no circumstance in which a deposit is simply forfeited. Every dollar withheld must be itemized, supported, and delivered within the statutory deadline.

Related