T2200 – Employment expense
Canada Revenue Agency form T2200 – Process outline for completion of the Declaration
of Conditions of Employment form.
An employee’s eligibility to claim expenses will be reviewed on an individual basis.
When an employer is asked to sign a completed Form T2200, they are certifying that
the expenses paid by the employee are required within the employee’s terms and conditions
of employment. The specific terms should appear in the employee’s employment contract
or negotiated contract, and not all expenses that are reimbursed by Brescia may be
eligible expenses under CRA guidelines for this deduction.
The Form T2200 can only be signed when the conditions for each type of expenditure
- Employees will provide a brief written statement outlining the type of expenses incurred
and the basis for requesting the form T2200. This statement will be submitted to the
- The payroll officer will review the list of expenses against those eligible for reimbursement
under the CRA guidelines and against PER/CWRTER spending.
- The Form T2200 must be signed by the Vice-Principal, Finance and Administration.
- The payroll officer will inform the employee once the form is authorized and can be
picked up. Please allow 10 business days for completion of forms.
For complete details on CRA’s current allowable employment expenses, please see Guide T4044 – Employment Expenses available.
A signed T2200 does not provide an employee with any assurance that expenses incurred
are deductible. The eligibility to deduct employment expenses is governed by the Canada
Revenue Agency. Employees wishing to deduct employment expenses are advised to review
the Canada Revenue Agency’s publications and/or seek advice from their personal tax
Information - 2020 Tax Year Expenses
With so many employees working from their homes during the COVID-19 pandemic, the
ability to deduct home office expenses on their 2020 personal income tax returns has
become an important topic, and one we have received many questions on. This week he
government announced their Fall Economic Statement, and with it they announced a streamlined
process for employees and employers to claim eligible work from home expenses on their
personal income taxes.
A summary of the announcement made indicated that if eligible employees have modest
work from home expenses, they will be able to claim up to $400 for the 2020 tax year
without the need to track detailed expenses and employers may not be required to complete
a T2200 form for these employees. This is a new approach to employment related expenses.
We assure you that we will still complete T2200 forms for eligible employees whose
personal employment related expenses exceed those allowable under this new process.
We generally learn more about the administrative details that go along with legislative
announcements in the weeks following the initial announcement. We don’t have the administrative
details yet, or if there will be any changes to their definition of an “eligible employee”,
and no update has been made at the present time in regards to whether CRA’s list of
eligible expenses will change.
More information to follow!