T2200 – T777 Employment Expenses

I am an employee and receive T4, but I also spend some money for the business, i.e., I use my phone or my car. May I claim employment expenses?

As a full-time employee you will be able to claim employee expenses if you have T2200 signed by your employer. This form, which needs to be filled out and signed by your employer, gives you the right to deduct eligible expenses under two conditions:

(1) You have not received reimbursement or a non-taxable allowance for the expenses you paid.

(2) It is mentioned in your employment contract that you are required to pay for the expenses.

Some common eligible expenses are listed below:

Accounting and legal fees

Allowable motor vehicle expenses (including capital cost allowance)

Traveling expenses

Parking costs

Supplies (Office supplies)

Other expenses, such as salary expenses, Office rent, long-distance calls, work-space-in-the-home expenses

This information helps your tax preparer to fill out the T777 and deduct expenses from your income while filing your taxes, reducing your tax amount payable.

If you have any questions regarding employment expenses, contact us at info@rbtj.ca.