Work from Home Tax Deductions - during Covid-19
We’ve been hearing for months that there will be options to claim some expenses for those who worked from home in 2020.
Here’s the latest on how to claim a tax deduction for eligible home office expenses during the Covid-19 Pandemic.
The Canada Revenue Agency has published that there are two ways of claiming the home office expenses using a flat rate calculation or by using a fantastic calculator and survey to determine your eligibility and rates you can expect.
Evaluate your individual situation directly from their site, then download the form.
Some of the differences between the methods are:
Temporary Flat Rate Method
$2/day that you worked from home. No receipts required and no documents from your employers needed.
Detailed Method
Have to have either a T2200S or a T2200 form filled out and signed. (electronic signature from your employer is acceptable for 2020 only).
TO BE SIGNED BY EMPLOYER:
The T2200S only for home office
The T2200 for both home office and other expenses
You have to have all of your receipts to write off
Check Eligibility and Calculate Expenses
The above link takes you right to the Canada Revenue Calculator!
T777S Form
Statement of Employment Expenses for Work from Home due to Covid-19.
Form for those working from home due to the COVID-19 pandemic who are claiming home office expenses ONLY.
T777 Form
Statement of Employment Expenses for Work from Home due to Covid-19.
Form for those claiming ADDITIONAL employment expenses ie: motor vehicle, accounting fees, tools, and parking.
T2200S
Declaration of Conditions of Employment for working at home due to COVID-19
T2200
Declaration of Conditions of Employment for both home office and other expenses.
Helpful Work from Home Deduction Consideration tool curtesy of the Government of Canada:
Image property of the Government of Canada.