CKL EMPLOYEES - A NEW TAX BREAK FOR YOU IF YOU BUY PERSONAL COMPUTER EQUIPMENT - NOT A TAXABLE BENEFIT TO YOU ANYMORE

April 22, 2020 - the Canada Revenue Agency (the “CRA”) announced it would allow special, favorable tax treatment to employees working from home during the COVID-19 pandemic. 

The CRA will accept that the reimbursement of an employee, for amounts spent on personal computer equipment to enable the employee to work from home, will not be a taxable benefit to the employee. This relief is to apply for amounts up to $500 and only in respect of amounts for which the employee provides receipts.

This departs from the standard-course taxation of home office expenses, according to which if an employee receives a reimbursement for home office equipment, it is characterized as a personal expense, primarily for the employee’s benefit, and therefore a taxable benefit.


Thank you for reading this - Calvin Chan of WARDS LAWYERS PC.

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This WARDS LAWYERS PC blog is for general information only. It is not legal advice, or intended to be. Specific or more information may be necessary before advice could be provided for your circumstances.

More information? We're here to help - calvin@wardlegal.ca | www.wardlegal.ca