If you are looking to deduct home office expenses, the following Home Office Expense Deduction Check List will help guide you as to what can be expensed on your income tax.

  • Principal (>50%) place of employment, i.e., at least 50% of duties of employment are performed at home, OR
  • Home space is used exclusively for the purpose of earning employment income & meeting customers or other persons on a regular or continuous basis in the ordinary course of employment.
  • Can deduct expenses (e.g., rent: pro-rated on a sq. meter area, fuel, electricity, supplies) up to the income generated from “home”. Excess expenses can be carried forward indefinitely.
  • Salaried employees cannot claim CCA, property taxes, insurance payments or mortgage interest. However, if the taxpayer has earned commission income, then property taxes and insurance payments are deductible.
  • Mortgage interest and CCA are only deductible by a self- employed individual against business income.