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ARTICLE · 05 JANUARY 2021

CRA Releases Details On Work From Home Expense Deductions And Certain Employer-Provided Benefits

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On December 15, the Canada Revenue Agency (the "CRA") released additional details regarding the availability of employee deductions for work from home expenses and the taxation of certain employer provided employee benefits during the COVID-19 pandemic.

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Kevin Yip
Kevin Yip
Devon LaBuik
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Kathryn Walker
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CRA Announces New Simplified Process for Claiming Work From Home Expenses and Formalizes the Tax Treatment of Certain Employer Provided Employee Benefits During the COVID-19 Pandemic

On December 15, the Canada Revenue Agency (the "CRA") released additional details regarding the availability of employee deductions for work from home expenses and the taxation of certain employer provided employee benefits during the COVID-19 pandemic.

These new rules are a welcome relief and provide clarity for many employers and employees already grappling with a tough 2020 due to the pandemic. There were many questions and concerns as to how the existing employee home office expense deduction rules would work in 2020 with many employees (nearly all in some industries) working from home. For example, there was some uncertainty as to how to apply the condition that an employee be required to work principally from home in order to claim the home office deduction. Furthermore, from

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