The Toronto Star is running today its quarterly (approximately) special section on Small Business. One of the main articles deals with “mompreneurs” and how there has been a 200 percent increase in the number of women-owned businesses in the past 20 years. The article goes on to describe how many of these women business owners are now running their businesses out of their own homes. God bless them, I say. Don’t get me wrong, I love my kids like nothing else in this world, but there is no way in heck that I could ever run my business from home. I have a fully functioning home office and could – from a technological standpoint – run my practice from home. If it weren’t for the noise. It’s hard to discuss professional matters with clients while someone is banging on the office door yelling “Daddy, why can’t I have a turn on the Wii?!” So, congratulations to those who run their businesses from home – you’re far braver souls than I am.
In any event, the real reason for this post is that every time I see something in the paper that talks about home based businesses I usually start to see within the next day or two inquiries coming in about how to set up a home based business and, most importantly, questions about what can be deducted when running a home-based business. For example: can I deduct the entirety of my mortgage as a business expense? If no, can I deduct part? Revenue Canada has an interpretation bulletin that answers many of these questions and so I’m going to pre-emptively tell you all where that bulletin is so that you can review it for yourselves and save the time in waiting for me to respond to the inquiry and send you the link.
The bulletin can be found here.