February 12, 2020

The taxman has no place in the bedrooms of the nation, unless you claim it as a home office

The Income Tax Act allows tax deductions on expenditures employees incur for their work and are not reimbursed by the company that they work for. If you want to deduct home office expenses you need to meet the criteria required to do so. This includes a form T2200 signed by the company you work for. If you use your home or car, you may be assessed on what percentage of your home property as well as your drive time is used for work and you may have to pay a penalty if the CRA believes you deducted too much.

“One woman who primarily used her bedroom as an office went to tax court over how much of her home she was allowed to claim.”

Read more: https://business.financialpost.com/personal-finance/taxes/the-taxman-has-no-place-in-the-bedrooms-of-the-nation-unless-you-claim-it-as-a-home-office

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