Thank you for your question,
As per CRA, you can deduct your cell phone as a business expense from your business income, you can note your costs on Form T2125, Statement of Business and Professional Activities. This form helps you calculate your net business income.
If you use your cell phone for both personal and business use, you can only claim a portion of its cost as a business expense.
For more information on business expenses, see the CRA Business Expenses section and Tax Tip: Cell phone expenses for self-employed individuals and small business owners
What about for the cost of the phone itself? I use my phone 50% of the time for work, the other 50% is personal.
The phone cost me $1200. In the TurboTax field "UCC at beginning of year" do I enter $1200 or $600?
As per the CRA: a cell phone falls under Class 8 CCA and has a depreciation rate of 20 per cent, unless it costs more than $1,000. If the phone costs more than $1,000, you can choose to group it in a separate class.
Thank you for choosing TurboTax.
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