If you work from home, which method should you choose? Here is the comparison:
Flat rate method verses Detailed method.
|Description||Temporary Flat Rate method||Simplified Detailed – for office in home expenses||Detailed – for any employment expenses|
|Eligibility||Work from home in 2020 due to COVID-19; for more than 50% of the time for a period of at least 4 weeks, not claiming other employment expenses; |
and not reimbursed all of the employee’s home office expenses.
|Work from home due to COVID-19||Employee’s contract requires them to pay their own expenses while carrying out the duties of employment.|
|Deduction amount||$2 per day up to max. of $400 (Employer certification not required)||Claim per calculation on new T2200S and new T777S (certified by employer and supported by receipts)||Claim per calculation on T2200 and T777 (certified by employer and supported by receipts)|
|Limitation||Restricted home office expenses to max. $400||Restricted for office in home expenses only||Can claim other employment expenses|