Home Office Expenses
Companies claiming expenses for the use of your home
If your business is a company and does not pay anything towards the home office expenses, it cannot claim an expense. However, if your company reimburses you for the use of your home, then it may be able to claim an expense. The company needs to be able to prove that there is a link between the money paid for the use of your home and the income the company makes. It also needs to keep accurate records that show how and when it paid for the use of your home, the amounts paid, and how it arrived at the amount to pay. If you are a shareholder-employee/employee and the amount paid is a fair reimbursement for the use of your home, then it is exempt income, and you do not need to pay income tax on the amount.
