Action Publishing Ltd.

Action Publishing Ltd.

March 12, 2013 11:00 ET

Tax Preparation Process Flawed And Self-Employed Canadians Working From Home Suffer The Consequences

Maximizing Business-Use-of-Home Tax Deductions Should Not Be This Difficult. New Solution Found.

VANCOUVER, BRITISH COLUMBIA--(Marketwire - March 12, 2013) - Tax law complexity, fear of the Canada Revenue Agency (CRA), unforgiving deadlines, and busy tax preparers are a combination that works against Canada's self employed. The tax return preparation process is too onerous and the tax forms themselves are flawed. A case in point is that what seems like a simple tax form; the T2125 STATEMENT OF BUSINESS OR PROFESSIONAL ACTIVITIES, particularly the Business-Use-of-Home Expenses portion, is actually poorly designed and incomplete. This tax form is biased towards reporting lower expenses than what otherwise could be claimed, especially for the self-employed that have many different and multiple uses of their home for business purposes.

Can we really expect tax preparers to spend hours performing home office tax research, asking their clients numerous questions about their home office situation, validating the information, performing the calculations and then providing reasoned strategic choices of the best filing position - all in the midst of a brief tax season? It simply does not happen. Self-employed taxpayers working from home therefore collectively suffer tens of millions of dollars of lost potential tax savings.

All the more disconcerting because, according to CRA, an amazing 722,210 Canadians claimed business-use-of-home expenses for the 2010 tax year. This does not include mailed-in returns.

Ken R. Lagasse, a Vancouver based small business tax specialist for over 35 years, says he and many colleagues have been repeatedly frustrated by the need for a better process for tax preparers to work with their clients to receive the complete information they need quickly and easily so they can legitimately maximize tax savings when claiming business-use-of-home expenses.

This need has now been met. The Home Office Tax Deduction Detector, developed by Lagasse, is a new intuitive web-based tax software application that performs the thinking and doing to consider and calculate the maximum allowable tax deductible expenses. A step by step full featured calculator ensures no-one will miss any important considerations relevant to a better tax outcome.

In short, the tax software is like having an attentive tax professional review your business-use-of-home expenses when you want, for as long as you want, to find more tax deductions that you can use year after year. This software does not replace but compliments other tax return preparation software.

The liberal use of positive tax court case outcomes within The Home Office Tax Deduction Detector provides the taxpayer with confidence that the decisions they make using the software are correct and legitimate.

For more information about this topic, access to review the software or to schedule an interview with Ken Lagasse, please call 604 569 0910 or e-mail More information on the software is at Canada tax software.

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