Covid Employment Expenses

Flat rate method:

You can claim $2 for each day you worked from home between March 12, 2020 and December 31, 2020 to a maximum of $400.

If you worked for at least four consecutive weeks from home

  • You can’t use Days off, Vacation days, Sick leave days or other leave or absence
  • You do not have to calculate the size of your workspace
  • You do not need to keep supporting documents
  • You do not need your employer signed Form T2200(S)

Detailed Method:

You can claim the actual amounts you paid using the T777S form, must keep documents for 6 years.

You worked more than 50% of the time from home for a period of at least four consecutive weeks

Your employer required you to work from home, It does not have to be part of your employment contract and may be a written or verbal agreement, but you need a sign T2200S

Use Calculator and print Report, you will need box 14,20 & 44 of your T4

Determine your workspace use

  • Size of your home
  • Size of workspaces (CRA uses 100 & 130 Sqft in example)
  • Hours used (Common area like kitchen may be 5% vs Separate Room at 100%)

Salaried employees can claim:

  • Utilities (Hydro, Heat and Water) in proportion to workspace used
  • Maintenance and minor repair costs
  • Other: Home internet access fees, you can deduct a portion of your basic cell phone service plan if apportioned between employment and personal use on a reasonable basis.
  • Rent paid
  • Supplies include items such as stationery items, stamps, toner.
  • Long Distance charges but not telephone Line

Commission employees can also claim:

  • Home insurance
  • Property taxes
  • Lease of cell phone, computer, printer… That reasonably relate to earning income

CANNOT be claimed:

  • Mortgage (Principal and Interest) or Condo fee or Property tax
  • Furniture
  • Capital expenses (replacing windows, flooring, furnace, building room)
  • Wall decorations

If you have further questions regarding other business services we provide please check out our Bookkeeping Services page or feel free to contact us by clicking the button below.