Note: Line 22900 was line 229 before tax year 2019.

If you were a tradesperson in 2021, use the following formula to calculate your maximum tradesperson's tools deduction for the cost of eligible tools you bought in 2021:

Maximum deduction for eligible tools is the lesser of:

a) \$500

b) the amount, if any, determined by the formula

A − \$1,257 where

A = the lesser of:

1. the total cost of eligible tools that you bought in 2021; and

plus the amount you received in 2021 under the Apprenticeship Incentive Grant and the Apprenticeship Completion Grant programs;

minus the amount of any Apprenticeship Incentive Grant and Apprenticeship Completion Grant overpayments that you had to repay in 2021.

## Example

In 2021, Karsten is employed as an electrician with ABC Company, and he needs to purchase additional tools for his job. He paid \$2,500 for the tools he needed and he earned \$45,000 in employment income in 2021 as an electrician.

He calculates his maximum deduction for eligible tools in 2020 as follows:

Maximum deduction for eligible tools is the lesser of:

a) \$500

b) the amount, if any, determined by the formula

A − \$1,257 where

A = the lesser of:

1. \$2,500

2. \$45,000

Karsten's maximum deduction for 2021 is the lesser of \$500 and \$1,243 (\$2,500 − \$1,257). Karsten claims a deduction of \$500 at line 22900 of his 2021 income tax and benefit return.