BU357 Lecture Notes - Lecture 9: Capital Cost Allowance
Document Summary
Chapter 5 depreciable property and eligible capital property: depreciable property and capital cost allowance (cid:523)(cid:498)cca(cid:499)(cid:524) Eligible capital property (cid:523)(cid:498)ecp(cid:499)(cid:524) and cumulative eligible capital amount (cid:523)(cid:498)ceca(cid:499)(cid:524) Depreciable properties: tangible properties and intangible assets with limited legal lives (licenses, patents) Cca calculated based on balance of the account starting in year you own property. Ecp: intangible assets that have no limited lives (goodwill, customer reputation) Ucc = undepreciated capital cost capital cost before depreciation. Apply the appropriate cca rate to the resulting balance to calculate cca. If you claim cca this year, your balance will be reduced declining balance. Opening balance ucc xxx: opening balance = last year"s closing balance. )f b c, cca = rate * (a + b c) A xxx: passenger vehicles costing more than ,000. One car, one account not pooled together. No recapture/terminal loss negative balance doesn"t have effect. Special half year rule for year of sale only for class 10. 1.
