Among the many impacts of COVID-19, non-essential Canadian
workers have been forced to quickly adapt to working from home.
Given the current circumstances, taxpayers may be wondering if any
home office expenses can be claimed on their tax returns. As we
explain below, taxpayers cannot deduct as many expenses as one may
otherwise think since the federal Income Tax Act (the
"ITA") sets out certain rules and
prescribes deductions available to salaried employees, commission
employees and self-employed persons. Historically, the Canada
Revenue Agency (the "CRA") has
restrictively interpreted the provisions of the ITA dealing with
home office expenses, however, it is hoped that the CRA will
revisit its position due to the effects of
COVID-19.
