Approximately 250,000 federal government employees working from home were eligible for tax credits ranging from $400 to $500 each, according to the Canada Revenue Agency (CRA).
“In response to the Covid-19 pandemic the government introduced the temporary flat rate method to simplify the calculation of home office expenses when claiming the employment expenses deduction,” the CRA wrote in a submission to the Commons government operations committee, obtained by Blacklock’s Reporter.
The flat rate “home office expense” credit allowed federal staff to claim a maximum $400 on their 2020 tax return, which was raised to $500 in subsequent years.
The CRA information came in response to a question raised by Conservative MP Kelly Block, who inquired, “Can you tell us what the cost ramifications are to the treasury from all the public servants working from home who are now eligible to claim home office deductions on their income tax?”…