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One blog post closer to clean books.
Each blog post from the Castle team is packed with practical tips, real-world experience, and clear answers to common bookkeeping questions. Whether you're sorting expenses or planning for tax time, you'll find guidance to help you run your business with clarity and confidence.
Terms of Service
Welcome to Castle! These terms of service outline the rules and regulations for the use of our bookkeeping services.
By accessing this website and using our services, you accept these terms and conditions in full. Do not continue to use Castle services if you do not accept all of the terms and conditions stated on this page.
Castle offers professional bookkeeping services including transaction categorization, reconciliations, financial reporting, GST/HST filing, and other related services as agreed upon with the client.
2. Billing and Payments
All services provided by Castle are billed on a recurring basis unless otherwise
agreed upon. Payments are due upon receipt of invoice. We accept payment via credit card, debit card, and electronic funds transfer.
3. Cancellation and Refund Policy
Clients may cancel services at any time by providing 30 days’ notice in writing or via email. Refunds for prepaid services will be prorated based on the remaining unused portion of the services.
4. Privacy Policy
Our privacy policy outlines how we collect, use, and protect your personal information. We do not sell or share your information with third parties without your consent, except as required by law.
5. Liability
Castle will perform all services with reasonable care and skill. However, we do not accept liability for losses resulting from acts of nature, third-party errors, or misuse of financial information or reports by the client.
6. Amendments
Castle reserves the right to amend these terms of service at any time. Amendments will be effective immediately upon posting on this website.
7. Contact Us
If you have any questions about this privacy policy or our privacy practices, please contact us at:
Castle
316 1st Ave NE
Phone: 587-872-0602
Email: info@bookwithcastle.com
One blog post closer to clean books.
Each blog post from the Castle team is packed with practical tips, real-world experience, and clear answers to common bookkeeping questions. Whether you're sorting expenses or planning for tax time, you'll find guidance to help you run your business with clarity and confidence.
Home Office Expenses — What You Can (and Can’t) Write Off
Who Qualifies for the Home Office Deduction
To claim home office expenses, the space must meet one of two CRA conditions:
- It’s your main place of business, or
- You use it exclusively to earn income and meet clients, patients, or customers there on a regular basis.
If you occasionally answer emails from your couch — sorry, that doesn’t count. But if your home office is where you keep records, manage finances, and perform most business tasks, you’re likely in the clear.
How to Calculate the Percentage You Can Claim
This is where most people guess — and that’s where mistakes happen.
The CRA expects a reasonable percentage based on square footage and usage.
For example:
- If your home is 1,000 sq. ft. and your office is 100 sq. ft., that’s 10%.
- If the space doubles as a guest room or family area, you’ll need to prorate the amount by how often it’s used for business.
Pro tip: Keep a simple note or diagram of your calculation. It helps if the CRA ever asks how you arrived at your number.
What You Can Write Off
You can claim a percentage of:
- Rent or mortgage interest
- Utilities (heat, electricity, water)
- Internet
- Property taxes
- Home insurance
- Minor maintenance (like paint or light fixtures)
Important: Capital expenses (e.g., major renovations, new roof) usually can’t be deducted directly — they may be claimed over time as capital cost allowance (CCA).
Common Mistakes to Avoid
- Overestimating your percentage. The CRA knows average home sizes by region. Stay realistic.
- Claiming 100% of utilities. Unless your home is literally your business (like a photography studio), this will trigger scrutiny.
- Forgetting to reduce your claim when you move. The deduction is property-specific.
Keep It Simple, Keep It Clean
At Castle Bookkeeping, we recommend clients keep a short note in their records explaining how their home office percentage was calculated. It shows good faith and makes things easy at tax time.
Next week, we’ll tackle meals and entertainment expenses — one of the most misunderstood categories for self-employed Canadians.
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