Claiming expenses when filing Canadian income tax

[Margaret230]

My understanding is that if I rent out 25% of my house, I claim 25% of my expenses whether they are used solely for my rented rooms or not (eg. bedding). In addition I must divide thatamount  by the percentage of days rented in a year. So if my rooms are rented for 25% of the year, I can only claim 6.25 % of my income. Am I interpreting this right? Also since my guests sometimes use my kitchen to make meals, can I include that as a room used?

[Corliss2]

Yes, you cqn claim a portion of your kitchen; also, your entry way to your home and laundry room and any other space that is used partially for business purposes. If the bedrooms are used solely for business and not for personal use in the non-booked days, you can claim the full 25% of the bedroom area and not deduct from that percentage of days not used. 

As far as actual expenses go you actually have 2 separate expense entries- 

- Household expenditures 25% deduction. This includes everything that you buy for your home that is used for both your use and for business use. Also, claim the allowable portion of all of your utility bills, insurance, property taxes, banking fees, interest costs on your mortgage (NOT the entire mortgage). 

-Direct Expenses 100%. Purchases used solely for business purposes. This includes bedding, towels, cleaning supplies, laundry soap, toilet paper, coffee/tea/cream/sugar, advertising, postage, etc. Also, if you have to replace an item that is broken inadvertently. Your cell phone is also a 100% deduction.

For more information, the CRA website has detailed informaton  and the necessary forms related to business use of home expenses.

This is a longer response than I had anticipated. I am a bit of an income tax nerd. Keep all of your receipts for EVERY purchase. 

[Margaret230]

I am reluctant to claim my rental income as a business. Does this still apply? Also , I had to buy a new refridgerator this year. My guests do use it at times. How do I calim that?