Quick answer. Alberta's Residential Tenancies Act permits security deposit deductions for damage caused by the tenant beyond ordinary wear and tear. RTDRS practice has established a fairly predictable case-law-informed line. Not deductible (wear and tear): faded paint, small nail holes from hung pictures, minor carpet compression in traffic areas, worn caulking, minor scratches on hardwood or laminate from furniture movement, worn cabinet hinges, tarnished fixtures from age, slight discoloration around door handles. Deductible (damage): large holes in walls (fist-sized or larger), cigarette burns on any surface, pet urine stains through carpet padding, chipped or broken countertops, missing or broken fixtures, unauthorised paint colours (deduction covers repainting to landlord's colour, not both colours), damaged or destroyed appliances beyond age-appropriate wear, and any deliberate destruction. The line moves with time: what would be minor wear in a 5-year tenancy is damage in a 6-month tenancy.
The RTA Framework
Section 32 of Alberta's Residential Tenancies Act permits deposit deductions for 'damages caused during the tenancy other than reasonable wear and tear.' Two elements matter: damage (something beyond normal use), and reasonable wear and tear (excluded from deductibility). What counts as 'reasonable' has been shaped by RTDRS decisions over time and by comparable analysis in other Canadian jurisdictions with similar frameworks. The framework is deliberately flexible; there is no schedule of specific dollar amounts or exhaustive list. Instead, the RTDRS analyst applies a reasonable-person test with reference to the tenancy length, the item's expected lifespan, and the specific circumstances.
The Wear-and-Tear Baseline (Not Deductible)
- Small nail holes and pin holes from hung pictures, up to 5-6 per wall in most cases.
- Faded paint from sunlight exposure, especially on south and west-facing walls.
- Minor carpet compression in walking paths, near sofas, and in front of TVs.
- Slightly worn edges of hardwood in doorway threshold areas.
- Worn caulking around bathroom fixtures.
- Tarnished chrome or brass fixtures from age.
- Slight discoloration around door handles and light switches from touch.
- Small dents in interior doors from casual bumps.
- Worn cabinet hinges and drawer glides after multi-year use.
- Slight scratches on hardwood floors from routine furniture placement.
Damage Beyond Wear and Tear (Deductible With Evidence)
- Fist-sized or larger holes in drywall.
- Cigarette burns on any surface (carpet, countertop, appliance).
- Pet urine stains penetrating through carpet padding to subfloor.
- Chipped or cracked bathroom or kitchen countertops.
- Broken windows, mirrors, or glass fixtures.
- Missing fixtures (removed light fixtures, missing blinds, removed appliance parts).
- Damage to appliances from misuse (fridge shelves broken, oven door damaged, dishwasher racks broken).
- Unauthorised paint (deduction covers cost to repaint to a neutral colour once, not two coats).
- Water damage from tenant-caused overflows or leaks not promptly reported.
- Deliberate destruction: kicked doors, punched drywall, broken lighting.
The Time Factor
The tenancy length matters. A carpet that shows visible traffic-path wear after a 5-year tenancy is expected wear. The same wear after a 6-month tenancy is unusual and may indicate improper care that supports a partial deduction. Appliances are similarly age-adjusted: a stove element failing after 2 years of use in a 15-year-old stove is wear; the same element failure caused by clear misuse (deep scoring, foil melted into the element) is damage.
The Depreciation Principle
For deductions on items with defined lifespans (carpet, paint, appliances), RTDRS often applies a depreciation calculation. Carpet has a typical 7 to 10-year lifespan in a rental. If a tenant damages a 5-year-old carpet beyond repair, the deduction is not the full replacement cost of new carpet; it is a proportional share reflecting the remaining useful life. A $2,000 carpet replacement on a 5-year-old carpet with a 10-year lifespan might support a $1,000 deduction (50 percent remaining life) rather than the full $2,000. Landlords who claim full replacement value regardless of age often lose the excess at RTDRS.
Common Grey-Area Situations
Repainting
Standard rental paint life is 3 to 5 years. If the tenancy was 4 years and the walls show typical scuffs, marks, and minor wear, the landlord repaints as an operating cost (not deducted from deposit). If the tenancy was 8 months and the walls show significant marks beyond casual use (crayon on walls, wall-mounted TV brackets creating drywall damage, deep gouges), a partial or full paint deduction may be supportable.
Cleaning
Standard turnover cleaning between tenancies is a landlord operating cost, not deductible from deposit. Additional cleaning for extreme conditions (grease-caked stove hood, mildew in bathroom, pet fur throughout despite pet cleaning requirements) may support a partial deduction with documentation. RTDRS typically allows $200 to $600 for above-standard cleaning in extreme cases and rejects amounts for standard turnover work.
Carpet Cleaning vs Replacement
Professional carpet cleaning at turnover is often a landlord cost. Carpet replacement due to damage (burns, stains, pet urine through padding) is deductible with depreciation. A tenant cannot be charged for carpet replacement due to normal traffic wear regardless of the visible appearance.
Pet Damage
Pet-caused damage is deductible even if a pet was authorised in the lease. Scratched doors and doorframes, urine stains through carpet padding, chewed baseboards, and pet-odour remediation costs are common categories. Where a pet deposit was collected (within the one-month total cap), it applies first before drawing on the general security deposit.
Smoke Damage
Where the lease prohibits smoking and the tenant smoked, smoke damage remediation (paint sealing, drapery cleaning, deep carpet cleaning, possibly HVAC cleaning) is typically deductible. Cigarette burns are also deductible. Where smoking was permitted (rare in modern leases), the baseline wear and tear expectation shifts, and remediation is often not deductible.
Documentation Requirements for Any Deduction
- Reference to the specific damage documented in the move-out condition report.
- Matched photographs from move-in (showing the pre-existing condition) and move-out (showing the changed condition).
- Actual repair invoices or written estimates from qualified contractors.
- For depreciation calculations, the age of the damaged item and the reasonable expected lifespan.
- For cleaning charges, the specific cleaning invoice with itemisation of above-standard work.
Frequently Asked Questions
Can I deduct for paint if the tenant painted the walls?
If the tenant painted without landlord consent, yes. The deduction covers the cost to repaint the walls to the landlord's original neutral colour once, not the cost to prime plus repaint plus additional coats. If the paint colour was mutually agreed and documented, the tenant may not be liable for repainting.
How do I calculate depreciation on damaged items?
For items with defined lifespans, take the actual cost to repair or replace, multiply by the fraction of remaining useful life. Carpet at year 5 of a 10-year lifespan supports 50 percent of replacement cost. Paint at year 3 of a 4-year cycle supports 25 percent of repaint cost. Appliances similar. Show your work in the itemised statement.
What if the tenant did the damage but I did not notice at move-out?
You have 10 business days from the tenant's move-out to provide the itemised statement. Damage discovered after that window is much harder to recover. If discovered within the 10 days and you have evidence tying it to the tenant, add it to the statement with supporting photographs and documentation.
Can I deduct my own labour if I do the repair myself?
In practice, RTDRS is skeptical of landlord self-labour charges. Materials cost is generally deductible with receipts. Landlord labour is often not, particularly at rates that appear inflated. Hire a contractor and bill actual invoice, or accept that self-repair typically covers materials only.
Does UrbanLease apply this framework to owner deposit deductions?
Yes. UrbanLease's deposit handling references the RTA wear-and-tear line, applies depreciation to age-adjusted items, and provides owners with the itemised statement supporting each deduction. Property management services provided by PREP Realty.
Bottom Line
The wear-and-tear line in Alberta is fairly stable and predictable if applied with reference to tenancy length, item lifespan, and documented condition. Landlords who claim aggressively (full replacement cost on aged items, cleaning charges for standard turnover work, paint charges on multi-year tenancies) tend to lose the excess at RTDRS. Landlords who apply the depreciation principle and document carefully typically defend legitimate deductions. This is one of the areas where experience with RTDRS practice matters most; UrbanLease handles this framework for owner clients under PREP Realty.