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Home Office Expenses

Forum|Forum|1 year ago
April 17, 2024
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I am using the download version of Turbo Tax Standard.
I did the Home office calculation on CRA site, but when I am trying to enter that info in the Turbo tax. I see 3 columns "GST Taxable" "HST Taxable" "Zero Rated & Exempt" , where it says "Enter the expense you incurred for the Entire Home"

1. which column should I enter the total expenses? HST was included in the total of all the utility bills and at CRA site it didn't ask such thing (GST/HST taxable, exempt etc), what I see in the turbo tax software.

2. Now if I enter the total Expenses on top row and in the bottom row where it is asking " Amount Included above that relates solely to the work space in your home" , the amount which was calculated in CRA calculator, it automatically increase the amount in line 48 of the form mode. what am I missing here.? CRA calculator shows a different amount to fill in the form T777 line 48, but the turbo tax calculation calculate a some other amount for line 48, based on the same information I am filling in which I filled in the CRA calculator.
But if I fill in the CRA suggested line 48 amount under Total house expenses in the software then it translate correctly the same amount in the line 48 in form T777. is this a software glitch or this is the way to enter this info in the software ?

Best answer by TurboTaxSusan

You would enter the full amount of your expense (sales tax included) into the column that corresponds with the sales tax you paid for that expense. Ex: If you bought Supplies and you were charged HST on those supplies, then you would put the full total (price + HST) in the HST column.

If you enter an amount under "Expenses which you incurred for the entire home", then TurboTax will automatically calculate the amount of the expense that you can claim, based on the area of the space used for business and how much you work in there. The "expenses which you incurred for office space only" section is for things you pay for that are just for your work area, ex: ink & paper for a printer you only use for work.

If the amounts for your expenses are not calculating property, then double check that you have entered the information about your workspace size and hours worked correctly. If you are still not able to resolve this issue, please contact our phone support team at 1-888-829-8608.

TurboTaxSusanAnswer

You would enter the full amount of your expense (sales tax included) into the column that corresponds with the sales tax you paid for that expense. Ex: If you bought Supplies and you were charged HST on those supplies, then you would put the full total (price + HST) in the HST column.

If you enter an amount under "Expenses which you incurred for the entire home", then TurboTax will automatically calculate the amount of the expense that you can claim, based on the area of the space used for business and how much you work in there. The "expenses which you incurred for office space only" section is for things you pay for that are just for your work area, ex: ink & paper for a printer you only use for work.

If the amounts for your expenses are not calculating property, then double check that you have entered the information about your workspace size and hours worked correctly. If you are still not able to resolve this issue, please contact our phone support team at 1-888-829-8608.

M

mansur18Author

Thank you so very much for helping on this. It worked like a charm. The wordings in the software is little confusing, specially when I had the print out from CRA site for the end result. In the software, Home exp screen In the top line it is asking us to enter the total amount and in the bottom portion it is telling to enter the amount related to work space, so one who went to CRA site first would imagine this to be line 48, and won't realize this is totally a different expenses and not related to Utilities.

Anyway your reply helped me resolve this issue. Much appreciated