T2200: how it benefits those working from home
If your employer sent you home and you have been paying for the equipment, the T2200 route may still be the stronger claim. What to keep, what to file, and what does not count.
The pandemic brought many changes to businesses and individuals. One of these was a limit on where employees could perform their work. To handle it, a business may have reduced staff at the office through rotational shifts, short days in office, or by having everyone work from home.
When employees work from home, issues follow — one being reimbursement for employees who spend their own money on work-related costs. If you are an employee who has been required to work from home, you could qualify to receive deductions from your income, commonly referred to as T2200, for costs you have carried that were not reimbursed by your employer. These costs include equipment or supplies purchased for work and used at home.
How to qualify
- Keep the receipts for any payments you make that qualify.
- Understand what costs are deductible — workspace, electricity, heating, maintenance, property taxes and home insurance. Masks, unfortunately, are not.
- Complete form T777 to determine which expenses you are deducting and how much, then complete form T2200.
- Your employer must complete the T2200 Declaration of Conditions of Employment, which is available on the government website, in order for you to qualify.
- Normally you must prove that you are working from home and incurring these expenses without choice. Where it is mandatory for you to work at home, the T2200 benefit clearly applies.
At Augimeri & Theva Professional Corporation we offer a wide assortment of services: personal and corporate tax preparation, tax consulting, small business tax accounting, tax planning, tax audit support, bookkeeping, cloud accounting, start-up accounting, real estate tax planning, research and development claims, self-employed returns, rental income returns and contractor returns.
