The Work-From-Home Deduction

Since the shift to remote work, the CRA has provided clear guidelines for claiming home office expenses. If you worked from home in 2025, you may be eligible for deductions that reduce your tax bill.

Two Methods Available

Flat Rate Method (Temporary)

Claim $2 per day worked from home, up to a maximum of $500 per year. No receipts required, no T2200 form needed. This is the simplest option for most employees.

Detailed Method

Calculate the actual proportional cost of your home office: a percentage of rent, utilities, internet, maintenance, and supplies based on the size and usage of your dedicated workspace. Requires a signed T2200 or T2200S from your employer.

What You Can Claim (Detailed Method)

Rent (proportional to workspace)
Electricity, heat, water
Home internet (proportional to work use)
Maintenance and minor repairs
Office supplies (pens, paper, ink)

What You Cannot Claim

Mortgage payments, property taxes, or home insurance (employees)
Capital expenses like furniture or computers (employees — these are different for self-employed)
Expenses reimbursed by your employer

Self-Employed? You Get More

Self-employed individuals can claim a broader range of expenses including property taxes, home insurance, and mortgage interest (proportional to workspace).

Need help maximizing your work-from-home deductions? Tax Titan has you covered.

Tax Deductions for Remote Workers in Ontario