The Simplified Process for Claiming the Home Office Expenses (COVID-19)

Under this method you do not have to calculate the size of your work space or keep supporting documents. Instead, you claim a temporary flat rate of $2 for each day you worked from home in 2020 due to the COVID-19 pandemic (up to a maximum of $400). This option is only available for the 2020 tax year due to the COVID-19 pandemic.

This method simplifies your claim for home office expenses (work-space-in-the-home expenses and office supply and phone expenses). If you worked more than 50% of the time from home for a period of at least four consecutive weeks in 2020 due to the COVID-19 pandemic, you can claim $2 for each day you worked from home during that period. You can then also claim any additional days you worked at home in 2020 due to the COVID-19 pandemic. The maximum amount that can be claimed is $400 per individual. This method can only be used for the 2020 tax year.

Days that can be counted:

• days you worked part-time hours from home

• days you worked full-time hours from home

Days that cannot be counted:

• days off
• vacation days
• sick leave days
• other leave or absence

For you, you do not have to calculate the size of your work space or to keep supporting documents. On the other hand, your employer does not have to complete and sign Form T2200S or Form T2200.

Eligibility:

Each employee working from home who meets the eligibility criteria can use the temporary flat rate method to calculate their deduction for home office expenses. To use this method to claim the home office expenses you paid, you must meet all of the following conditions:

• You worked from home in 2020 due to the COVID-19 pandemic.
• You worked more than 50% of the time from home for a period of at least four consecutive weeks in 2020.
• You are only claiming home office expenses and are not claiming any other employment expenses.
• Your employer did not reimburse you for all of your home office expenses.

Important: 

– What if your employer has reimbursed you for some of your home office expenses? You can still use the temporary flat rate method, if you meet the eligibility criteria.

– What if you chose to work from home? If you were not required to work from home, but your employer provided you with the choice to work at home because of the COVID-19 pandemic, then the CRA will consider you to have worked from home due to COVID-19.

This method allows you to claim the actual amounts you paid, supported by documents. You must complete Form T777S or Form T777 and get a completed and signed Form T2200S or Form T2200 from your employer.

Form T777S: Option 1 of 2

Use “Option 2 – Detailed method” on Form T777S to claim your home office expenses if you are claiming the actual amount paid as a result of working from home and are not claiming any other employment expenses.

Form T777: Option 2 of 2

You must use Form T777 to claim your home office expenses if you are:

• claiming other employment expenses (for example, motor vehicle expenses), as well as home (work-space-in-the-home, office supplies and certain phone expenses)
• filing a 2019 or prior year tax return

Then you can claim your deduction by entering the amount from Line 9368 on Form T777S or Form T777 on Line 22900 “Other employment expenses” on your tax return.

Form T777S or Form T777 must be filed with your tax return. Do not include your supporting documents.

Form T2200S or Form T2200 is kept by you and is not included with your tax return.

Who can sign Form T2200 and Form T2200S? 

Form T2200 and Form T2200S must be signed by your employer. It is up to your employer to determine who is authorized to sign these forms.

Important: Keep the following records for six years:

• Declaration of Conditions of Employment (Form T2200S or Form T2200)
• any receipts, supporting documents and records