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The Canada Revenue Agency (CRA) recently released a new, simplified process for deducting home office expenses for the 2020 tax year, which will require employers to be prepared to work with those employees seeking to take advantage of the changes. The revisions, announced on December 15, were brought about by the dramatic impact that the COVID-19 pandemic has had on typical working life. For millions of Canadians, this is the first year in which they will be able to deduct certain expenses related to working from home. For the 2020 tax year only, employees who have worked from home for at least one month due to COVID-19 may deduct home office expenses using either the Temporary Flat-Rate Method or the New Detailed Method.

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