Politics

Millions of Canadians working from home could qualify for new tax deduction

[ad_1]

The Canada Revenue Agency has simplified the rules to make millions of Canadians working from home eligible for a tax deduction.

Under the new rules, those who worked from home more than 50 per cent of the time over a period of at least four consecutive weeks in 2020 as a result of the pandemic will be now be eligible for the deduction.

Eligible employees who opt for the simplified deduction will be able to claim $2 for each day they worked from home, up to a maximum of $400. Their employers will not have to sign a special form.

Those with larger claims for home office expenses, however, can still use the existing detailed method to claim a deduction.

According to Statistics Canada’s Labour Force Survey, an estimated 2.4 million Canadians who do not normally work from home were doing so in October.

The $400 work from home deduction was first announced in the government’s fiscal update on November 30.

[ad_2]

SOURCE NEWS