Form T2125 - Claim rent ????
Summary: treadstone68 questions if Form T2125 has changed and inquires about claiming a portion of rent and utilities for their Ebay business. They express concern that claiming too much might lead to an audit if it makes their net income negative. busybeas_books shares their experience of claiming home-office deductions without triggering an audit, mentioning they own their home and use UFile for the correct forms but are unsure about changes in the form. vintagenorth confirms that you cannot claim expenses that result in negative income and suggests carrying forward the unused amount, but clarifies they are not an accountant.
Is it me or has Form T2125 changed compared to last year??
Also, has anyone ever filled out the section where you can claim a percentage of your rent and utilities depending on how much space your Ebay business takes up square footage-wise? The rules make it sound like the only caveat is that you cannot claim so much that it makes your net income negative. This sounds like it would trigger an audit if you ask me.
I rent, but I'd say by stock (in boxes) easily takes up 1/3rd of my appartment.
vintagenorth
·1 year agoIt's always been that way. You can't claim that amount to put yourself in a negative situation. But, you can carry forward the amount and use it at a later date. I'm not an accountant BTW.
busybeas_books
·1 year agoI've done the home-office deductions for over 10 years, no audit yet (Jinx!). Based on square feet the business uses 25% space. We own, not rent, but mortgage intrest and property tax is allowed. All kinds of other expenses too. I use UFile so it makes out the correct form, no idea if the form has changed.