T2200S form to claim home office expenses during COVID-19 will be available in March
To: All employees
As a result of the COVID-19 pandemic, most employees have temporarily shifted to working from home.
Given the exceptional circumstances of the pandemic, for the 2020 tax year, the Canada Revenue Agency (CRA) has introduced for employers a simplified version of the T2200 form, called the T2200S - Declaration of Conditions of Employment for Working at Home Due to COVID-19.
In support of employees being able to make a claim if eligible, Ryerson will issue the form T2200S before the end of March to everyone who was employed at the university between March 16 and December 31, 2020.
Required forms
To make a claim, an employee is required to file a form T777S which you can access on the CRA website (external link) with your personal income tax return.
You do not need the T2200S form in order to submit your personal income tax return. Once available in March, employees should retain this form in the event it is needed for a CRA request or audit.
Options to make a claim
Under the CRA’s new administrative policy, a taxpayer may claim home office expenses using one of two different methods.
Option 1 – Simplified method
For the simplified method, an employee can claim up to a maximum of $400 using the T777S and the T2200S form is not required.
Option 2 – Detailed method
With the detailed method, you can claim actual eligible expenses greater than $400 using the T777S. You will need to retain the T2200S provided by the University.
Who will receive a T2200S from Ryerson University?
To avoid individual employees needing to request these forms, everyone who was employed at the University between March 16 and December 31, 2020 will receive a T2200S.
Important note: Receiving the form does not confirm that you are eligible to make a claim on your personal income tax return.
Who is eligible to make a claim using the T2200S and other appropriate forms?
According to the CRA, certain criteria must be met in order to be eligible to make a claim. KPMG, Ryerson’s accounting firm, has provided an (google doc) explainer resource document and FAQs on deductions of home office expenses (external link) to assist employees with understanding.
We recommend that you carefully review this information, and confirm your eligibility with a tax advisor.
The University does not take on any responsibility with respect to the decision of an employee to make a deduction on their tax return. This communication and all resource materials provided are not to be considered tax advice. Please consult your tax advisor.
Home office expenses calculator
KPMG has also provided a Home Office Expenses Calculator (external link) to share with our employees to assist in determining if it is worthwhile for you to make a detailed claim. Please download the Excel file to your computer before editing. The file will not function properly in Google Sheets or any other third party apps.
This complex spreadsheet may contain accessibility issues. If you use assistive technology and require accommodation, please contact Andrea Skyers at askyers@torontomu.ca who will arrange with KPMG to provide you support in accessing the tool. Ryerson and KPMG cannot however provide tax guidance or recommendations on the content of the calculator.
The CRA also provides their version of an expense calculator (external link) on their website.
Questions
Please review the (google doc) Deduction of Home Office Expenses and FAQ (external link) .
Please also review the CRA website (external link) for more information.