Home Expenses For Employees 2020

In 2020 CRA introduced a new credit for employees who are working from home due to the pandemic. There are two methods you can use to claim the credit outlined below.

Flat Rate Method

To be eligible, you would have to work from home for 50% of the time for 4 consecutive weeks during 2020. As well, you are only claiming office expenses not other employment expenses and you cannot have received any reimbursements from your employer for office expenses.

If you are eligible, you can claim $2 a day for each day working from home to a maximum of $400.

Detailed Method

This method requires more strict eligibility rules you can see at CRA’s website.

You will need to have your employer fill out a T2200 and track your expenses with receipts.

If you are not sure which method to use, CRA has a calculator to determine which might give you the most credit.

 

Please note this is a tax credit and not a refund. You use the credit towards reducing your income and any tax you may have to pay.