Here are some details on Deduction for Tools and how it's calculated:
http://www.cra-arc.gc.ca/tx/ndvdls/tpcs/ncm-tx/rtrn/cmpltng/ddctns/lns206-236/229/trds/tlddctn-eng.h...
As you indicated, you may be eligible for up to a $500 deduction.
To do this in TurboTax do the following:
- Go to the Profile Section
- Answer Yes to "did you work in 2014?"
- Check "I was employed"
- Answer Yes to "Did you have expenses related to your employment?"
- Check "I had employment expenses"
- Be sure to read the little Note that says you must have a T2200 from your employer to keep for your records in case the CRA asks for it.
- Now in the Income section, you'll be asked for Employment Expenses.
- Check "Other Employment Expenses"
- On the next page, you can enter the cost of your tools and a description under "Tradesperson's Tools Expense"
Be sure to enter the actual cost of your tools (as an example, a $3000 drill), not the credit you should receive.
Sorry for the long winded answer! I just want to make sure you have all the information you need.
