,canada ,rev5ue ,ag5cy ,t#djjb--,busi;s & ,profes.nal ,9come ,9cludes ,=m ,t#babe #bjji ,pr9t ,pages #c-ef ,brl ,pages ;i-;xiv & #a-cjf ,9dex ,brl page ,is ? guide = y8 """""""""""""""""""" #a ,:at's ,new = #bjji8 """""""""""""""" #c ,my ,busi;s ,a3.t """"""""""""""""" #c ,my ,pay;t """""""""""""""""""""""" #d ,l9e #iigd--,,gst/,,hst rebate = "pn]s rcvd 9 ! ye> """""""""""""" #d ,class #eb 7#ajj@3p7 """""""""""""" #e ,ta# ( ,3t5ts """"""""""""""""""""""" #g ,*apt] #a--,g5]al ,9=m,n """"""""""" #ac ,busi;s & busi;s 9come """"""""""" #ac ,h[ d y report yr busi;s 9come8 "" #af ,fiscal p]iod """""""""""""""""" #af ,a3rual me?od """""""""""""""""" #ag ,ca% me?od """"""""""""""""""""" #ah ,busi;s records """""""""""""""""" #ai ,b5efits ( keep+ -plete & organiz$ records """"""""""""" #bj ,3sequ;es ( n keep+ adequate records """""""""""""""""""""" #ba ,9come records """"""""""""""""" #ba ;i ,9dex ,exp5se records """""""""""""""" #bf ,"t limits """"""""""""""""""""" #cj ,9/al;t pay;ts """"""""""""""""""" #ca ,dates 6rememb] """""""""""""""""" #cb ,:at is a "pn]%ip8 """"""""""""""" #cd ,report+ "pn]%ip 9come """"""""" #ce ,"pn]%ip losses """""""""""""""" #cf ,"pn]%ips t h 6file a "pn]%ip 9=m,n return """"""""""""""""" #cg ,"pn]%ips t d n h 6file a "pn]%ip 9=m,n return """"""""" #ci ,capital co/ all[.e 7,,cca7 """" #ci ,eligi# capital exp5ditures """" #da ,limit$ "pn]%ip """""""""""""""" #da ,gds & s]vices tax/h>moniz$ sales tax 7,,gst/,,hst7 rebate = "pn]s """"""""""""""" #da ,9ve/;t tax cr$it """""""""""""""" #df ,appr5tice%ip job cre,n tax cr$it 7,,ajctc7 """""""""""""" #dg ,9ve/;t tax cr$it = * c>e spaces """"""""""""""""""""""" #dh ;ii ,9dex ,*apt] #b--,9come f ,busi;s or ,profes.n """""""""""""""""""""""" #di ,sole proprietor%ips """"""""""""" #di ,"pn]%ips """""""""""""""""""""""" #di ,h[ 6-plete ,=m ,t#babe1 ,/ate;t ( ,busi;s or ,profes.nal ,activities """""""""""""""""""" #eb ,id5tific,n """""""""""""""""""""" #eb ,"p #a--,busi;s 9come """""""""""" #ee ,l9e ;,a--,sales1 -mis.ns1 or fees """"""""""""""""""""""""" #ee ,l9e ;,c--,adju/$ gross sales "" #eg ,"p #b--,profes.nal 9come """""""" #eh ,l9e ;,d--,profes.nal fees """"" #eh ,elec;n 6exclude yr ,,wip """" #fa ,l9e ;,f--,adju/$ profes.nal fees """"""""""""""""""""""""" #fc ,"p #c--,gross busi;s or profes.nal 9come """"""""""""""" #fd ,l9e #hjjj--,adju/$ gross sales or adju/$ profes.nal fees """"""""""""""""""""""""" #fd ;iii ,9dex ,l9e #hbij--,res]ves deduct$ la/ ye> """""""""""""""""""""" #fe ,l9e #hbcj--,o!r 9come """"""""" #fe ,l9e #hbii--,gross busi;s or profes.nal 9come """"""""""""" #fg ,"p #d--,co/ ( gds sold & gross pr(it """""""""""""""""""""""""" #fh ,l9e #hcjj--,op5+ 9v5tory & ,l9e #hejj--,clos+ 9v5tory """ #fi ,9v5tory value ( an >ti/ic 5d1v\r """"""""""""""""""""" #ga ,gifts ( 9v5tory 0an >ti/ """" #gb ,l9e #hcbj--,pur*ases dur+ ! ye> 7net ( returns1 all[.es1 & 4c.ts7 """"""""""""""""""""" #gb ,l9e #hcdj--,direct wage co/s "" #gc ,l9e #hcfj--,subcontracts """""" #gd ,l9e #heai--,gross pr(it """"""" #gd ,"p #a--,busi;s 9come """""""""""" #ge ,"p #c--,gross busi;s or profes.nal 9come """"""""""""""" #gf ,"p #d--,co/ ( gds sold & gross pr(it """""""""""""""""""""""""" #gg ;iv ,9dex ,*apt] #c--,exp5ses """""""""""""""" #ha ,curr5t or capital exp5ses8 """""" #ha ,prepd exp5ses """"""""""""""""" #hh ,"p #e--,net 9come 7loss7 2f adju/;ts """"""""""""""""""""""" #hh ,l9e #heba--,adv]tis+ """""""""" #hh ,l9e #hebc--,m1ls & 5t]ta9;t """ #hi ,l9e #heij--,bad debts """"""""" #ib ,l9e #hfij--,9sur.e """""""""""" #ic ,l9e #hgaj--,9t]e/ """"""""""""" #id ,fees1 p5alties1 or bonuses pd =a loan """"""""""""""""" #id ,fees deducti# ov] five ye>s #ie ,fees deducti# 9 ! ye> 9curr$ """"""""""""""""""""" #if ,9t]e/ deducti# on prop]ty no l;g] us$ = busi;s purposes """"""""""""""""""" #if ,9t]e/ on loans made ag/ 9sur.e policies """""""""""" #ig ,capitaliz+ 9t]e/ """""""""""" #ig ,9t]e/ relat$ 6"w space 9 yr home """"""""""""""""""""""" #ih ;v ,9dex ,l9e #hgfj--,busi;s tax1 fees1 lic;es1 dues1 memb]%ips1 & subscrip;ns """""""""""""""""" #ih ,l9e #hhaj--,(fice exp5ses """"" #ii ,l9e #hhaa--,supplies """""""""" #ii ,l9e #hhfj--,legal1 a3.t+1 & o!r profes.nal fees """"""""" #ajj ,l9e #hhga--,manage;t & adm9i/r,n fees """""""""""""" #aja ,l9e #hiaj--,r5t """""""""""""" #aja ,l9e #hifj--,ma9t5.e & repairs #ajb ,l9e #ijfj--,sal>ies1 wages1 & b5efits """"""""""""""""""""" #ajb ,l9e #iahj--,prop]ty taxes """" #aje ,l9e #ibjj--,travel """"""""""" #ajf ,l9e #ibbj--,teleph"o & utilities """"""""""""""""""" #ajf ,l9e #ibbd--,fuel co/s """""""" #ajg ,l9e #ibge--,deliv]y1 freie ( net "pn]%ip 9come 7loss7 """""""" #aej ,l9e #iide--,busi;s-use-(-home exp5ses """"""""""""""""""""" #aej ,l9e #iidf--,yr net 9come 7loss7 """""""""""""""""""""" #aeg ,details ( o!r "pn]s """""""""""" #aeh ;viii ,9dex ,details ( equ;y 7page #c ( ,=m ,t#babe7 """""""""""""""""""""" #aei ,l9e #iica--,total busi;s liabilities """"""""""""""""" #aei ,l9e #iicb--,draw+s 9 #bjji """ #afj ,l9e #iicc--,capital 3tribu;ns 9 #bjji """"""""""""""""""""" #afj ,*apt] #d--,capital ,co/ ,all[.e 7,,cca7 """"""""""""""""""""""""" #afc ,:at is capital co/ all[.e8 """"" #afc ,def9i;ns """"""""""""""""""""""" #afc ,availa# = use """""""""""""""" #afc ,capital co/ """""""""""""""""" #afe ,deprecia# prop]ty """""""""""" #aff ,fair m>ket value 7,,fmv7 """"" #aff ,non->m's l5g? transac;n """""" #afg ,proce$s ( 4posi;n """""""""""" #afg ,undepreciat$ capital co/ 7,,ucc7 """"""""""""""""""""" #afh ,h[ m* ,,cca c y claim8 """"""""" #afh ,"! >e a few o!r ?+s y %d "k ab ,,cca3 """"""""""""""""""" #afi ;ix ,9dex ,h[ d y make yr claim8 """""""""" #agc ,column #a--,class numb] """""" #agd ,column #b--,undepreciat$ capital co/ 7,,ucc7 at ! />t (! ye> """""""""""""""""""""" #age ,column #c--,co/ ( a4i;ns 9 ! ye> """"""""""""""""""""""""" #agf ,>ea ;,b--,details ( equip;t a4i;ns 9 ! ye> """""""""""" #agh ,>ea ;,c--,details ( build+ a4i;ns 9 ! ye> """""""""""" #agi ,l& """"""""""""""""""""""""" #ahj ,>ea ;,f--,details ( l& a4i;ns & 4posi;ns 9 ! ye> #aha ,column #d--,proce$s ( 4posi;ns 9 ! ye> """""""""""" #aha ,>ea ;,d--,details ( equip;t 4posi;ns 9 ! ye> """""""""" #ahc ,>ea ;,e--,details ( build+ 4posi;ns 9 ! ye> """""""""" #ahd ,>ea ;,f--,details ( l& a4i;ns & 4posi;ns 9 ! ye> #ahd ;x ,9dex ,column #e--,,ucc af a4i;ns & 4posi;ns """""""""""""""""""" #ahd ,recapture ( ,,cca """""""""" #ahe ,t]m9al loss """""""""""""""" #ahf ,column #f--,adju/;t = curr5t- ye> a4i;ns """""""""""""""""" #ahg ,column #g--,base am.t = ,,cca #ahi ,column #h--,rate 7@3p7 """"""" #aij ,column #i--,,cca =! ye> """""" #aij ,column #aj--,,ucc at ! 5d (! ye> """"""""""""""""""""""""" #aia ,classes ( deprecia# prop]ty """" #aia ,class #a 7#d@3p7 """"""""""""" #aib ,class #c 7#e@3p7 """"""""""""" #aie ,class #f 7#aj@3p7 """""""""""" #aif ,class #h 7#bj@3p7 """""""""""" #aih ,class #aj 7#cj@3p7 """"""""""" #aii ,class #aj.a 7#cj@3p7 """"""""" #bjj ,class #ab 7#ajj@3p7 """""""""" #bjc ,class #de 7#de@3p7 """"""""""" #bjd ,class #df 7#cj@3p7 """"""""""" #bje ,class #ej 7#ee@3p7 """"""""""" #bjf ,class #eb 7#ajj@3p7 """""""""" #bjf ;xi ,9dex ,special situ,ns """""""""""""""" #bjg ,p]sonal use ( prop]ty """""""" #bjg ,*ang+ f p]sonal 6busi;s use "" #baj ,grants1 subsidies1 or o!r 9c5tives or 9duce;ts """""""" #bac ,non->m's l5g? transac;ns """"" #bad ,capital ga9s """"""""""""""""" #bai ,special rules = 4pos+ (a build+ 9 ! ye> """""""""""""" #bba ,calcul,n ;,a--,l& & build+ sold 9 ! same ye> """"""""" #bbc ,calcul,n ;,b--,l& & build+ sold 9 di6]5t ye>s """""""" #bbe ,replace;t prop]ty """""""""""" #bbf ,summ>y ( ,*apt]s #b 6#d--,complet$ ,=m ,t#babe "" #bce ,*apt] #e--,eligi# ,capital ,exp5ditures """""""""""""""""""" #bec ,:at is an eligi# capital exp5diture8 """"""""""""""""""" #bec ,:at is an annual all[.e8 """"""" #bec ,:at is a cumulative eligi# capital 7,,cec7 a3.t8 """"""""" #bed ;xii ,9dex ,h[ 6calculate yr annual all[.e #bee ,,cec a3.t """""""""""""""""""" #bee ,sole proprietor--,sale ( eligi# capital prop]ty 9 ! #bjji fiscal p]iod """""""""""""""""" #bei ,"pn]%ip--,sale ( eligi# capital prop]ty 9 ! #bjji fiscal p]iod #bfc ,elec;n """"""""""""""""""""""""" #bfh ,replace;t prop]ty """""""""""""" #bfi ,app5dix--,9du/ry ,codes """""""""" #bga ,profes.ns """""""""""""""""""""" #bga ,s]vices """""""""""""""""""""""" #bgb ,sales """""""""""""""""""""""""" #bgh ,:olesales """""""""""""""""""""" #bhj ,3/ruc;n """""""""""""""""""""""" #bha ,manufactur+ """""""""""""""""""" #bhc ,natural res\rce 9du/ries """"""" #bhd ,9dex """"""""""""""""""""""""""""" #bhe ,= m 9=m,n """""""""""""""""""""""" #bic ,=ms & public,ns """""""""""""""" #bic ,guides & pamphlets """"""""""" #bic ,=ms """""""""""""""""""""""""" #bid ;xiii ,9dex ,9=m,n circul>s """"""""""""""" #bie ,9t]pret,n bullet9s """"""""""" #bie ,electronic s]vices """"""""""""" #bih ,my ,a3.t """"""""""""""""""""" #bii ,my ,busi;s ,a3.t """"""""""""" #bii ,repres5t a cli5t """"""""""""" #cjj ,3tact u """""""""""""""""""""""" #cjj ,teletypewrit] us]s """"""""""" #cja ,\r s]vice -pla9t process """"""" #cja ,/ep #a--,talk 6u """"""""""""" #cja ,/ep #b--,3tact ,,cra--,s]vice ,-pla9ts """""""""""""""""""" #cjb ,/ep #c--,3tact ! (fice (! ,taxpay]s' ,ombudsman """"""" #cjb ,yr op9ion c.ts """"""""""""""""" #cjc ,electronic s]vices """"""""""""""" #cje ;xiv ,transcrib]'s note3 7,front cov]7 ,canada ,rev5ue ,ag5cy ,busi;s & ,profes.nal ,9come ,9cludes ,=m ,t#babe #bjji ,t#djjb7,e7 ,rev4 #ji _+www.cra.gc.ca_: ,transcrib]'s note3 7,9side front cov]7 ,is ? guide = y8 ,use ? guide if y >e a .self-employ$ .busi;s .p]son or a .profes.nal4 ,x w help y calculate ! busi;s or profes.nal 9come y w report on yr #bjji 9come tax return4 .,self-employ$ .-mis.n .salesp]sons %d al use ? guide 6det]m9e ! 9come 6report 9 #bjji4 ,y >e 3sid]$ 6be self-employ$ if y h a busi;s rel,n%ip )a pay] & y al h ! #a ,is ? guide = y8 "r 6det]m9e ":1 :51 & h[ yr "w is d"o4 ,= m 9=m,n1 see ,guide ,,rc#daaj1 ,employee or ,self-,employ$8 ,"?\t ? guide1 we ref] 6o!r guides1 =ms1 9t]pret,n bullet9s1 & 9=m,n circul>s4 ,g5],y1 if y ne$ any ( ^!1 g to _+www.cra.gc.ca/forms_:4 ,y may want 6bookm>k ? a4ress = easi] a3ess 6\r ,web site 9 ! future4 ,! t]m .9come .tax .return us$ 9 ? guide has ! same m1n+ z 9come ..tax & b5efit .return4 ,if y h a visual impair;t1 y c get \r public,ns 9 brl1 l>ge pr9t1 etext 7;,,cd or diskette71 or ,,mp#c4 ,= m 9=m,n1 g 6_+www.cra.gc.ca/alternate_: or call #a-hjj-iei-bbba4 #b ,:at's ,new = #bjji8 #c ,transcrib]'s note3 7,! >1s \tl9$ 9 col\r >e 9dicat$ by 8,/>t \tl9e0 & 8,5d \tl9e0 at ! left m>g947 ,/>t \tl9e ,my ,busi;s ,a3.t ,y c n[ transf] pay;ts & cr$its f "o 9t]im p]iod 6ano!r 9t]im p]iod or 6an am.t [+ )9 ! same a3.t4 ,y w 2 a# 6see ! results immly1 9clud+ up- to-date a3.t bal.es & 9t]e/1 if applica#4 ,g 6! 8,a3.t bal.e & activities0 s]vice 6a3ess ! 8,transf] ,pay;ts0 op;n4 ,6le>n m ab ! gr[+ li/ ( s]vices availa# 9 ,my ,busi;s ,a3.t1 g to _+www.cra.gc.ca/mybusinessaccount_:4 #c ,my ,pay;t a#c .,my .,pay;t is a new pay;t op;n t all[s 9dividuals & busi;ses 6make pay;ts onl9e1 us+ ! ,canada ,rev5ue ,ag5cy's ,web site1 f an a3.t at a "picipat+ ,canadian f9ancial 9/itu;n4 ,= m 9=m,n on ? self-s]vice op;n1 g 6_+www.cra.gc.ca/mypayment_:4 ,l9e #iigd--,,gst/,,hst rebate = "pn]s rcvd 9 ! ye> ,report ! am.t (! ,,gst/,,hst rebate = "pn]s t relates 6eligi# exp5ses o!r ?an capital co/ all[.e 7,,cca7 on l9e #iigd 9 ,"p #f on page #b ( ,=m ,t#babe1 ,/ate;t ( ,busi;s or ,profes.nal ,activities1 9 ! ye> y rcvd x4 ,= m 9=m,n1 r1d 8,gds & s]vices tax/h>moniz$ sales tax 7,,gst/,,hst7 rebate = "pn]s0 on page #i & 8,l9e #iigd--,,gst/,,hst #d ,:at's new = #bjji b#c rebate = "pn]s rcvd 9 ! ye>0 on page #bg4 ,class #eb 7#ajj@3p7 ,class #eb 9cludes g5]al-purpose electronic data-process+ equip;t 7-monly call$ -put] h>dw>e7 & sy/ems s(tw>e = t equip;t1 9clud+ ancill>y data-process+ equip;t1 acquir$ af ,janu>y #bg1 #bjji1 & 2f ,febru>y #bjaa4 ,! ,,cca rate is #ajj@3p &! half-ye> rule w n apply4 ,= m 9=m,n1 r1d 8,class #eb 7#ajj@3p70 on page #cf4 ,5d \tl9e #e #f ,ta# ( ,3t5ts #d ,page ,*apt] #a--,g5]al ,9=m,n """""""""""" #e ,busi;s & busi;s 9come """""""""""" #e ,h[ d y report yr busi;s 9come8 """ #e ,busi;s records """"""""""""""""""" #f ,9/al;t pay;ts """""""""""""""""""" #g ,dates 6rememb] """"""""""""""""""" #h ,:at is a "pn]%ip8 """""""""""""""" #h ,9ve/;t tax cr$it """""""""""""""" #aj ,appr5tice%ip job cre,n tax cr$it 7,,ajctc7 """""""""""""" #aj ,9ve/;t tax cr$it = * c>e spaces """"""""""""""""""""""" #aj ,*apt] #b--,9come f ,busi;s or ,profes.n """""""""""""""""""""""" #aj ,sole proprietor%ips """"""""""""" #aj ,"pn]%ips """""""""""""""""""""""" #aj ,h[ 6-plete ,=m ,t#babe1 ,/ate;t ( ,busi;s or ,profes.nal ,activities """""""""""""""""""" #aa ,id5tific,n """""""""""""""""""""" #aa ,"p #a--,busi;s 9come """""""""""" #aa #g ,ta# ( 3t5ts a#d ,"p #b--,profes.nal 9come """""""" #ab ,"p #c--,gross busi;s or profes.nal 9come """"""""""""""" #ac ,"p #d--,co/ ( gds sold & gross pr(it """""""""""""""""""""""""" #ac ,*apt] #c--,exp5ses """""""""""""""" #af ,curr5t or capital exp5ses8 """""" #af ,"p #e--,net 9come 7loss7 2f adju/;ts """"""""""""""""""""""" #ag ,"p #f--,yr net 9come 7loss7 """"" #bg ,details ( o!r "pn]s """"""""""""" #bh ,details ( equ;y 7page #c ( ,=m ,t#babe7 """"""""""""""""""""""" #bh ,*apt] #d--,capital ,co/ ,all[.e 7,,cca7 """""""""""""""""""""""""" #bi ,:at is capital co/ all[.e8 """""" #bi ,def9i;ns """""""""""""""""""""""" #bi ,availa# = use """"""""""""""""" #bi ,capital co/ """"""""""""""""""" #bi ,deprecia# prop]ty """"""""""""" #bi ,fair m>ket value 7,,fmv7 """""" #bi ,non->m's l5g? transac;n """"""" #bi ,proce$s ( 4posi;n """"""""""""" #cj #h ,ta# ( 3t5ts b#d ,undepreciat$ capital co/ 7,,ucc7 """""""""""""""""""""" #cj ,h[ m* ,,cca c y claim8 """""""""" #cj ,h[ d y make yr claim8 """"""""""" #cj ,column #a--,class numb] """"""" #ca ,column #b--,undepreciat$ capital co/ 7,,ucc7 at ! />t (! ye> """"""""""""""""""""""" #ca ,column #c--,co/ ( a4i;ns 9 ! ye> """""""""""""""""""""""""" #ca ,column #d--,proce$s ( 4posi;ns 9 ! ye> """"""""""""" #cb ,column #e--,,ucc af a4i;ns & 4posi;ns """"""""""""""""""""" #cb ,column #f--,adju/;t = curr5t- ye> a4i;ns """"""""""""""""""" #cc ,column #g--,base am.t = ,,cca #cc ,column #h--,rate 7@3p7 """""""" #cc ,column #i--,,cca =! ye> """"""" #cc ,column #aj--,,ucc at ! 5d (! ye> """""""""""""""""""""""""" #cc ,classes ( deprecia# prop]ty """"" #cc ,class #a 7#d@3p7 """""""""""""" #cc #i ,ta# ( 3t5ts c#d ,class #c 7#e@3p7 """""""""""""" #cd ,class #f 7#aj@3p7 """"""""""""" #cd ,class #h 7#bj@3p7 """"""""""""" #cd ,class #aj 7#cj@3p7 """""""""""" #ce ,class #aj.a 7#cj@3p7 """""""""" #ce ,class #ab 7#ajj@3p7 """"""""""" #ce ,class #de 7#de@3p7 """""""""""" #ce ,class #df 7#cj@3p7 """""""""""" #ce ,class #ej 7#ee@3p7 """""""""""" #cf ,class #eb 7#ajj@3p7 """"""""""" #cf ,special situ,ns """"""""""""""""" #cf ,*apt] #e--,eligi# ,capital ,exp5ditures """"""""""""""""""""" #df ,:at is an eligi# capital exp5diture8 """""""""""""""""""" #df ,:at is an annual all[.e8 """""""" #df ,:at is a cumulative eligi# capital 7,,cec7 a3.t8 """""""""" #df ,h[ 6calculate yr annual all[.e "" #df ,sole proprietor--,sale ( eligi# capital prop]ty 9 ! #bjji fiscal p]iod """"""""""""""""""" #dg #aj ,ta# ( 3t5ts d#d ,"pn]%ip--,sale ( eligi# capital prop]ty 9 ! #bjji fiscal p]iod #dh ,elec;n """""""""""""""""""""""""" #di ,replace;t prop]ty """"""""""""""" #di ,app5dix--,9du/ry ,codes """"""""""" #ej ,9dex """""""""""""""""""""""""""""" #ec ,= m 9=m,n """"""""""""""""""""""""" #ee ,=ms & public,ns """"""""""""""""" #ee ,electronic s]vices """""""""""""" #ef ,3tact u """"""""""""""""""""""""" #ef ,\r s]vice -pla9t process """""""" #ef ,yr op9ion c.ts """""""""""""""""" #ef #aa #ab ,*apt] #a--,g5]al ,9=m,n #e ,? *apt] has g5]al 9=m,n = all busi;ses 79clud+ self-employ$ -mis.n sales7 & profes.nal activities4 ,x al provides 9=m,n specific,y = "pn]%ips4 ,busi;s & busi;s 9come ,a busi;s is an activ;y t y 9t5d 6c>ry on = pr(it & "! is evid;e 6support t 9t5;n4 ,a busi;s 9cludes3 --a profes.n2 --a call+2 --a trade2 --a manufacture2 --an "utak+ ( any k9d2 & --an adv5ture or 3c]n 9 ! nature ( trade 7= m details1 see ,9t]pret,n ,bullet9 ,,it-#dei1 ,adv5ture or ,3c]n 9 ! ,nature ( ,trade74 #ac ,*apt] #a a#e ,note ,=! purpose ( ? guide & o!r report+ purposes1 profes.nal activities w 2 4cuss$ z a sep>ate category ( busi;s4 ,busi;s 9come 9cludes 9come f any activ;y y d = pr(it4 ,= example1 9come f a s]vice busi;s is busi;s 9come4 ,h["e1 y d n 9clude employ;t 9come z busi;s 9come4 ,note ,9clude all yr 9come :5 y calculate x = tax purposes4 ,if y fail 6report all yr 9come1 y may 2 subject 6a p5alty ( #aj@3p (! am.t y fail$ 6report af yr f/ omis.n4 ,a di6]5t p5alty may apply if y "k+ly or "u circum/.es am.t+ 6gross neglig;e "picipate 9 ! mak+ (a false /ate;t or omis.n on yr 9come tax return4 ,? #ad ,*apt] #a b#e p5alty is #ej@3p (! tax attributa# 6! omis.n or false /ate;t 7m9imum 4#ajj74 ,y 7 ask+ ''' ,"q ,:5 does a busi;s />t8 ,c y deduct ! co/s y 9cur 2f & dur+ ! />t (a busi;s8 ,answ] ,we look at ea* case on xs [n m]its4 ,g5],y1 we 3sid] t a busi;s />ts :5"e y />t "s significant activ;y t is a regul> "p (! busi;s or t is nec 6get ! busi;s go+4 ,= example1 suppose y decide 6/>t a m]*&is+ busi;s & y buy 5 gds = resale 6/>t ! busi;s4 ,at ? po9t1 we wd 3sid] t ! busi;s has />t$4 ,usu,y y c deduct ! exp5ses y 9cur =! busi;s f t date4 ,y cd / deduct ! exp5ses ev5 if1 despite all yr ef=ts1 ! busi;s 5d$4 ,on ! o!r h&1 assume y review s"eal di6]5t busi;s prospects 9 ! hope ( go+ 96a busi;s ( "s k9d4 ,9 ? case1 we wd n 3sid] t ! #ae ,*apt] #a c#e busi;s has />t$1 & y cd n deduct any (! co/s y 9cur4 ,= m details ab />t+ a busi;s1 see ,9t]pret,n ,bullet9 ,,it-#cfd1 ,-m;e;t ( ,busi;s ,op],ns4 ,! law all[s ,/ati/ics ,canada 6a3ess busi;s 9=m,n collect$ 0! ,canada ,rev5ue ,ag5cy 7,,cra74 ,/ati/ics ,canada c n[ %>e ) prov9cial /ati/ical ag5cies1 = rese>* & analysis purposes only1 data 3c]n+ busi;s activities c>ri$ on 9 _! respective prov9ces4 ,h[ d y report yr busi;s 9come8 ,fiscal p]iod ,y report yr busi;s 9come bas$ on a fiscal p]iod4 ,a .fiscal .p]iod is ! "t cov]$ f ! "d yr busi;s />ts xs busi;s ye> 6! "d yr busi;s 5ds xs busi;s ye>4 ,= an exi/+ busi;s1 ! fiscal p]iod is usu,y #ab mon?s4 ,a fiscal p]iod #af ,*apt] #a d#e _c 2 l;g] ?an #ab mon?s4 ,h["e1 x c 2 %ort] ?an #ab mon?s 9 "s cases1 s* z :5 a new busi;s />ts or :5 a busi;s 5ds4 ,self-employ$ 9dividuals g5],y h 6use a ,decemb] #ca ye>-5d4 ,if y >e an eligi# 9dividual1 y may 2 a# 6use an alt]native me?od ( report+ yr busi;s 9come t all[s y 6keep a fiscal p]iod t does n 5d on ,decemb] #ca4 ,if yr fiscal ye>-5d is n ,decemb] #ca1 y w ne$ ,guide ,,rc#djae1 ,reconcili,n ( ,busi;s ,9come = ,tax ,purposes1 6calculate ! am.t ( busi;s 9come 6report on yr #bjji 9come tax return4 ,! public,n 9cludes ,=m ,t#aaci1 ,reconcili,n ( #bjji ,busi;s ,9come = ,tax ,purposes4 ,if y fil$ ,=m ,t#aaci ) yr #bjjh 9come tax return1 g5],y y h 6file t =m ag = #bjji4 ,a3rual me?od ,9 mo/ cases1 z a self-employ$ 9dividual1 y report busi;s 9come #ag ,*apt] #a e#e 0us+ ! a3rual me?od ( a3.t+4 ,) ? me?od1 y3 --report yr 9come 9 ! fiscal p]iod y e>n x1 reg>d.s ( :5 y rcv ! 9come2 & --deduct exp5ses 9 ! fiscal p]iod y 9cur !m1 :e!r y pd !m 9 t p]iod or n4 .,9cur usu,y m1ns y ei pd or w h 6pay ! exp5se4 ,9come f profes.nal activities is busi;s 9come4 ,"!=e1 y report x us+ ! a3rual me?od4 ,ca% me?od ,if y >e a self-employ$ -mis.n salesp]son1 y c use ! ca% me?od ( report+ yr 9come & exp5ses1 z l;g z x a3urately %[s yr 9come =! ye>4 --------------------------------------#f ,"u ? me?od1 y3 --report 9come 9 ! ye> y rcv x2 & --deduct exp5ses 9 ! ye> y pay !m4 #ah ,busi;s records a#f ,y >e requir$ 0law 6keep records ( all yr transac;ns 6support yr 9come & exp5se claims4 ,keep a record ( yr daily 9come & exp5ses4 ,we d n issue record books or su7e/ any type ( book or set ( books4 ,"! >e _m record books & bookkeep+ sy/ems availa#4 ,= example1 y c use a book t has columns & sep>ate pages = 9come & exp5ses4 ,keep yr records1 al;g ) yr duplicate deposit slips1 bank /ate;ts1 & c.ell$ *eques4 ,keep sep>ate records = ea* busi;s y run4 ,if y want 6keep -put]iz$ records1 make sure !y >e cle> & easy 6r1d4 ,note ,d n s5d yr records ) yr 9come tax return4 ,h["e1 keep !m 9 case we ask 6see !m at a lat] date4 #ai ,b5efits ( keep+ -plete & b#f organiz$ records ,"! >e b5efits = y :5 y keep -plete & organiz$ records3 --,:5 y e>n 9come f _m places1 gd records help y id5tify ! s\rce (! 9come4 ,if y keep prop] records1 y may 2 a# 6prove t "s 9come is n f yr busi;s1 or t x is n taxa#4 --,keep+ gd records w rem9d y ( exp5ses y c deduct :5 x is "t 6d yr 9come tax return4 --,gd records w keep y bett] 9=m$ ab ! pa/ & pres5t f9ancial posi;n ( yr busi;s4 --,gd records c help y budget1 spot tr5ds 9 yr busi;s1 & assi/ y 6get loans f banks & o!r l5d]s4 --,gd records c prev5t pro#ms y may run 96if we audit yr 9come tax returns4 #bj ,3sequ;es ( n keep+ adequate c#f records ,if y d n keep ! nec 9=m,n & y d n h any o!r pro(1 we may h 6det]m9e yr 9come us+ o!r me?ods4 ,we may al 4all[ exp5ses y deduct$ if y >e una# 6support !m4 ,"! >e p5alties if y d n keep adequate records1 d n give ! ,,cra a3ess 6yr records :5 reque/$1 or d n give 9=m,n 6,,cra (ficials :5 ask$4 ,9come records ,keep track (! gross 9come yr busi;s e>ns4 ,gross 9come is yr total 9come 2f y deduct ! co/ ( gds sold & exp5ses4 ,yr 9come records %d %[ ! date1 am.t1 & s\rce (! 9come4 ,record ! 9come :e!r y rcvd ca%1 prop]ty1 or s]vices4 ,support all 9come 5tries ) orig9al docu;ts4 ,orig9al docu;ts 9clude sales 9voices1 ca% regi/] tapes1 receipts1 bank deposit #ba ,*apt] #a d#f slips1 pati5t c>ds1 fee /ate;ts1 & 3tracts4 ,example ,! foll[+ 8,sales ,j\rnal0 is an example ( h[ 6record yr 9come =! mon? ( ,july3 ,transcrib]'s note3 7,! foll[+ is set up 9 n9e columns3 ,column #a3 ,date ,column #b3 ,"picul>s ,column #c3 ,ca% sales 7#a7 99 ,column #d3 ,cr$it sales 7#b7 99 ,column #e3 ,sales returns 7#c7 99 ,column #f3 ,total sales 7#d7 99 ,column #g3 ,,gst 7#e@3p7 7#e7 9999 ,column #h3 ,,pst 7#h@3p7 7#f7 9999 ,column #i3 ,pay;t on a3.t 7#g7 ,al 9cludes space = sev5 5tries47 #bb ,*apt] #a e#f 99 ,does n 9clude gds & s]vices tax 7,,gst7 & prov9cial sales tax 7,,pst7 or ! h>moniz$ sales tax 7,,hst74 9999 ,if y sell 6a resid5t 9 "o (! "picipat+ prov9ces1 ,,hst at #ac@3p replaces ,,gst & ,,pst4 ,= m 9=m,n on ,,hst1 see ,guide ,,rc#djbb1 ,g5]al ,9=m,n = ,,gst/,,hst ,regi/rants4 #a4 ,date3 ,july #a ,"picul>s3 ,daily sales 7#a7 ,ca% sales3 4#adf.jj 7#b7 ,cr$it sales3 4#bg.jj 7#c7 ,sales returns3 4#---- 7#d7 ,total sales3 4#agc.jj 7#e7 ,,gst3 4#h.fe 7#f7 ,,pst3 4#ac.hd 7#g7 ,pay;t on a3.t3 4#aj.jj #b4 ,date3 ,july #b ,"picul>s3 ,daily sales 7#a7 ,ca% sales3 4#afg.jj 7#b7 ,cr$it sales3 4#cf.be #bc ,*apt] #a f#f 7#c7 ,sales returns3 4#bf.jj 7#d7 ,total sales3 4#agg.be 7#e7 ,,gst3 4#h.hf 7#f7 ,,pst3 4#ad.ah 7#g7 ,pay;t on a3.t3 4#---- #c4 ,date3 ,july #c ,"picul>s3 ,daily sales 7#a7 ,ca% sales3 4#aee.jb 7#b7 ,cr$it sales3 4#ai.ie 7#c7 ,sales returns3 4#aj.ja 7#d7 ,total sales3 4#afd.if 7#e7 ,,gst3 4#h.be 7#f7 ,,pst3 4#ac.bj 7#g7 ,pay;t on a3.t3 4#cb.dj #d4 ,date3 ,july #d ,"picul>s3 ,daily sales 7#a7 ,ca% sales3 4#adg.jj 7#b7 ,cr$it sales3 4#bi.ie 7#c7 ,sales returns3 4#---- 7#d7 ,total sales3 4#agf.ie 7#e7 ,,gst3 4#h.he #bd ,*apt] #a g#f 7#f7 ,,pst3 4#ad.af 7#g7 ,pay;t on a3.t3 4#---- ,on ,july #a1 y exam9e ! sales 9voices & ca% regi/] tapes4 ,y f9d t y _h ca% sales ( 4#adf & sales on a3.t ( 4#bg4 ,9 ! sales j\rnal1 y record ! ca% sales 9 column #a & cr$it sales 9 column #b4 ,s9ce "! 7 no m]*&ise returns on ,july #a1 l1ve column #c blank4 ,column #d !n %[s ! total ( yr ca% sales plus cr$it sales m9us any m]*&ise return$ =! "d4 ,9 columns #e & #f1 %[ ! total ,,gst & ,,pst y *>g$ on yr sales4 --------------------------------------#g ,9 column #g1 keep track ( any ca% rcvd on previ\s cr$it sales4 ,d n 9clude ! am.t 9 ! daily sales figures2 s9ce y wd h 9clud$ x 9 ! sales figures on ! "d ! sale took place4 #be ,exp5se records a#g ,alw get receipts or o!r v\*]s :5 y buy "s?+ = yr busi;s4 ,:5 y buy m]*&ise or s]vices1 ! receipts h 6%[3 --! date (! pur*ase2 --! "n & a4ress (! sell] or suppli]2 --! "n & a4ress (! buy]2 & --a full descrip;n (! gds or s]vices4 ,example ,! foll[+ 8,exp5se ,j\rnal0 is an example ( h[ 6record yr exp5ses =! mon? ( ,july3 ,transcrib]'s note3 7,! foll[+ is set up 9 elev5 columns3 ,column #a3 ,date ,column #b3 ,"picul>s ,column #c3 ,*eque ,numb] ,column #d3 ,bank ,column #e3 ,,gst 7#e@3p7 99 ,column #f3 ,pur*ases ,column #g3 ,legal & ,a3t4 #bf ,*apt] #a b#g ,column #h3 ,adv4 ,column #i3 ,fees ,column #aj3 ,repairs ,column #aa3 ,capital items ,note t only ! columns ) 9=m,n >e 9dicat$47 99 ,if y reside 9 "o (! "picipat+ prov9ces1 ,,hst at a rate ( #ac@3p replaces ,,gst & ,,pst4 ,= m 9=m,n on ,,hst1 see ,guide ,,rc#djbb1 ,g5]al ,9=m,n = ,,gst/,,hst ,regi/rants4 ,date3 ,july #a ,"picul>s3 ,,xyz ,radio ,*eque ,numb]3 #djg ,bank3 4#cfg.ej ,,gst3 4#ag.ej ,adv43 4#cej.jj ,date3 ,july #a ,"picul>s3 ,smi? ,h>dw>e ,*eque ,numb]3 #djh #bg ,*apt] #a c#g ,bank3 4#bf.ie ,,gst3 4#a.bh ,repairs3 4#be.fg ,date3 ,july #b ,"picul>s3 ,c;y ( ,ottawa ,*eque ,numb]3 #dji ,bank3 4#aeg.ej ,,gst3 4#g.ej ,fees3 4#aej.jj ,date3 ,july #c ,"picul>s3 ,&y's ,a3.t+ ,*eque ,numb]3 #daj ,bank3 4#bfb.ej ,,gst3 4#ab.ej ,legal & ,a3t43 4#bej.jj ,date3 ,july #e ,"picul>s3 ,:olesale ,supply ,9c4 ,*eque ,numb]3 #daa ,bank3 4#a1hcf.fj ,,gst3 4#hg.df ,pur*ases3 4#a1gdi.ad #bh ,*apt] #a d#g ,date3 ,july #e ,"picul>s3 ,$'s ,us$ ,c>s ,*eque ,numb]3 #dab ,bank3 4#a1ege.jj ,,gst3 4#ge.jj ,capital items3 4#a1ejj.jj ,y 7 ask+''' ,"qs ,:at %d ,i d if "! is no descrip;n on a receipt8 ,answ] ,:5 y buy "s?+1 make sure ! sell] describes ! item4 ,h["e1 "s"ts "! is no descrip;n on ! receipt1 z )a ca% regi/] tape4 ,9 ? case1 y %d write :at ! item is on ! receipt or 9 yr exp5se j\rnal4 ,"q ,:at %d ,i d if a suppli] does n give me a receipt8 #bi ,*apt] #a e#g ,answ] ,:5 y buy "s?+1 make sure y ask =a receipt4 ,"s"ts1 h["e1 suppli]s may n provide receipts4 ,9 ? case1 write ! 9=m,n 9 yr records4 ,%[ ! "n & a4ress (! suppli]1 ! date y made ! pay;t1 ! am.t y pd1 &! details (! transac;n4 ,keep a record (! prop]ties y b"\ & sold4 ,? record %d %[ :o sold y ! prop]ty1 ! co/1 &! date y b"\ x4 ,? 9=m,n w help y calculate yr claim = capital co/ all[.e 7,,cca7 & o!r am.ts4 ,if y sell or trade a prop]ty1 %[ ! date y sold or trad$ x &! am.t (! pay;t or cr$it f ! sale or trade-in4 ,"t limits ,dep5d+ on ! situ,n1 keep yr records1 & relat$ v\*]s =! foll[+ l5g?s ( "t3 --if y file yr 9come tax return on "t1 a m9imum ( six ye>s af ! 5d (! tax ye> 6: !y relate2 #cj ,*apt] #a f#g --if y file yr 9come tax return late1 six ye>s f ! date y file t return2 & --if y file an objec;n or app1l1 until ei ! issue is settl$ &! "t = fil+ any fur!r app1l expires1 or ! six-ye> p]iod m5;n$ abv has expir$1 :i*"e is lat]4 ,^! ret5;n p]iods d n apply 6c]ta9 records4 ,= m details1 see ,9=m,n ,circul> ,,ic#gh-aj1 ,books & ,records ,ret5;n/,de/ruc;n4 ,if y want 6de/roy yr records & relat$ v\*]s 2f ! m9imum six- ye> p]iod is ov]1 y m/ f/ get writt5 p]mis.n f yr tax s]vices (fice4 ,6d ?1 ei use ,=m ,t#acg1 ,reque/ = ,de/ruc;n ( ,records1 or prep>e yr [n writt5 reque/4 ,= m 9=m,n1 see ,guide ,,rc#ddji1 ,keep+ ,records1 or g to _+www.cra.gc.ca/records_:4 #ca ,9/al;t pay;ts g#g ,z a self-employ$ 9dividual1 y may h 6make 9/al;t pay;ts = #bjaj4 ,yr #bjaj 9/al;t pay;ts >e due on ,m>* #ae1 ,june #ae1 ,septemb] #ae1 & ,decemb] #ae4 ,9 mo/ cases1 we w s5d y a notice 9dicat+ an 9/al;t am.t we h calculat$ = y4 ,h["e1 "! >e di6]5t me?ods t c 2 us$ 6calculate 9/al;t pay;ts4 --------------------------------------#h ,6det]m9e : calcul,n me?od is ! be/ = y1 see ,pamphlet ,p#aaj1 ,pay+ ,yr ,9come ,tax 0,9/al;ts4 ,y may h 6pay 9t]e/ &a p5alty if y d n pay ! full 9/al;t am.t y [e on "t4 ,note ,if any (! dates m5;n$ abv falls on a ,satur"d1 ,sun"d or a /atutory holi"d1 y h until ! next busi;s "d 6make yr 9/al;t pay;ts4 #cb ,dates 6rememb] a#h ,febru>y #bh1 #bjaj--,if y h employees1 file yr #bjji ,t#d & ,t#d;,a 9=m,n returns4 ,al1 give yr employees _! copies (! ,t#d & ,t#d;,a slips4 ,m>* #ae1 #bjaj--,make yr f/ #bjaj 9/al;t pay;t4 ,m>* #ca1 #bjaj--,mo/ "pn]%ips w file a "pn]%ip 9=m,n return 0,m>* #ca1 #bjaj4 ,h["e1 "! >e excep;ns4 ,see ,t#djfh1 ,guide =! ,t#ejac ,"pn]%ip ,9=m,n ,return4 ,april #cj1 #bjaj--,pay any bal.e [+ = #bjji4 ,file yr #bjji 9come tax return if ! exp5ditures (! busi;s >e ma9ly ! co/ or capital co/ 7r1d ! def9i;n on page #bi7 ( tax %elt] 9ve/;ts4 ,june #ae1 #bjaj--,make yr second #bjaj 9/al;t pay;t4 ,file yr #bjji 9come tax return if y h self-employ;t 9come or if y >e ! sp\se or -mon-law "pn] ( "s"o :o does1 un.s ! exp5ditures (! busi;s >e ma9ly ! co/ or capital co/ ( tax %elt] 9ve/;ts4 ,rememb] 9 e case 6pay #cc ,*apt] #a b#h any bal.e [+ 0,april #cj1 #bjaj1 6avoid 9t]e/ *>ges4 ,septemb] #ae1 #bjaj--,make yr ?ird #bjaj 9/al;t pay;t4 ,decemb] #ae1 #bjaj--,make yr f\r? #bjaj 9/al;t pay;t4 ,note ,if any (! dates m5;n$ abv falls on a ,satur"d1 ,sun"d1 or /atutory holi"d1 y h until ! next busi;s "d 6file yr return or make yr pay;ts4 ,:at is a "pn]%ip8 ,a "pn]%ip is usu,y ! rel,n%ip 2t p]sons :o c>ry on a busi;s 9 -mon )! 2lief !y w make a pr(it4 ,y c h a "pn]%ip )\t a writt5 agree;t4 ,6help y decide if y >e a "pn] 9 a c]ta9 busi;s1 det]m9e ! type & ext5t ( yr 9volve;t 9 ! busi;s & *eck ! laws ( yr prov9ce or t]ritory4 #cd ,*apt] #a c#h ,:5 y =m1 *ange1 or 4solve a rel,n%ip t may 2 a "pn]%ip1 3sid]3 --:e!r ! rel,n%ip is a "pn]%ip2 --! special rules ab capital ga9s or losses &! recapture ( ,,cca t apply :5 y transf] prop]ties 6a "pn]%ip2 --! special rules t apply :5 y 4solve a "pn]%ip2 & --! special rules t apply :5 y sell or 4pose ( yr 9t]e/ 9 a "pn]%ip4 ,= m details ab "pn]%ips1 see ,9t]pret,n ,bullet9 ,,it-#ij1 ,:at is a ,"pn]%ip8 ,report+ "pn]%ip 9come ,a "pn]%ip does n g5],y pay 9come tax on xs 9come & does n file an 9come tax return4 ,9/1d1 ea* "pn] files an 9come tax return 6report 8 or h] %>e (! "pn]%ip's net 9come or loss4 ,? require;t rema9s :e!r ! %>e ( 9come 0 #ce ,*apt] #a d#h rcvd 9 ca% or z a cr$it 6a capital a3.t 9 ! "pn]%ip4 ,"pn]%ip losses ,a "pn]%ip c h a loss4 ,h["e1 apply ! loss c>ry-ov] rules 6ea* "pn] & n 6! "pn]%ip4 ,= example1 :5 y -plete yr [n 9come tax return1 -b9e yr %>e (! "pn]%ip non-capital losses ) any o!r non-capital losses y h 9 ! ye>4 ,apply ? am.t ag/ yr 9come4 ,! loss c>ry-=w>d p]iod is #bj ye>s =3 --non-capital losses1 f>m losses1 re/rict$ f>m losses1 & life 9sur]'s ,canadian life 9ve/;t losses 9curr$2 & --9ve/;t tax cr$its e>n$ = sci5tific rese>* & exp]i;tal develop;t 7,,sr&,,ed74 #cf ,"pn]%ips t h 6file a e#h "pn]%ip 9=m,n return ,"pn]%ips t h 6file a "pn]%ip 9=m,n return 9clude ^? )3 --six or m "pn]s at any "t 9 ! fiscal p]iod2 & --five or less "pn]s "?\t ! :ole fiscal p]iod & "o or m ( xs "pn]s is ano!r "pn]%ip4 ,"! >e o!r situ,ns ": y w ne$ 6-plete ? return4 ,= m 9=m,n1 see ,t#djfh1 ,guide =! ,t#ejac ,"pn]%ip ,9=m,n ,return4 ,if y >e a "pn] (a "pn]%ip t has 6file a "pn]%ip 9=m,n return1 t "pn]%ip %d give y two copies ( ei a ,t#ejac slip1 ,/ate;t ( ,"pn]%ip ,9come1 or a ,t#ejac;,a slip1 ,/ate;t ( ,"pn]%ip ,9come = ,tax ,%elt]s & ,ren\nc$ ,res\rce ,exp5ses4 ,if y d n rcv ei slip1 3tact ! p]son :o prep>es ! slips4 ,on yr 9come tax return1 report ! gross "pn]%ip 9come & yr %>e (! net "pn]%ip 9come or loss4 ,y w get ^! #cg ,*apt] #a f#h am.ts f yr ,t#ejac or ,t#ejac;,a slip4 ,atta* a copy ( yr ,t#ejac or ,t#ejac;,a slip 6yr 9come tax return4 ,d n atta* ! "pn]%ip's 9come & exp5se /ate;t4 ,y may ne$ 6adju/ yr %>e (! net "pn]%ip 9come or loss %[n on yr ,t#ejac or ,t#ejac;,a slip4 ,d ? 6deduct any busi;s exp5ses y 9cur = : ! "pn]%ip did n repay y &= any o!r deducti# am.ts4 ,if ? is yr situ,n1 r1d 8,l9e #iidc--,o!r am.ts deducti# f yr %>e ( net "pn]%ip 9come 7loss710 on page #bg4 ,y may al --------------------------------------#i h exp5ses relat$ 6! busi;s use ( yr home4 ,= m 9=m,n1 r1d 8,l9e #iide-- ,busi;s-use-(-home exp5ses10 on page #bg4 ,guide ,t#djfh has m details ab ! "pn]%ip 9=m,n return4 #ch ,"pn]%ips t d n h 6file a a#i "pn]%ip 9=m,n return ,g5],y1 "pn]%ips t h five "pn]s or less "?\t ! :ole fiscal p]iod1 & t h no "pn] :o is ano!r "pn]%ip1 d n h 6file a "pn]%ip 9=m,n return4 ,= m 9=m,n1 see ,guide ,t#djfh4 ,if y >e a "pn] (a "pn]%ip t does n h 6file a "pn]%ip 9=m,n return1 calculate ! "pn]%ip's 9come & exp5ses us+ ! same rules y wd use =a proprietor%ip4 ,calculate ! "pn]%ip's 9come & exp5ses z if ! "pn]%ip 0 a sep>ate p]son4 ,"s rules = ,,cca & eligi# capital exp5ditures on "pn]%ip-[n$ prop]ty >e di6]5t4 ,capital co/ all[.e 7,,cca7 ,a "pn]%ip c [n .deprecia# .prop]ty 7r1d ! def9i;n on page #bi7 & claim ,,cca on x4 ,z an 9dividual "pn]1 y _c claim ,,cca on prop]ty ! "pn]%ip [ns4 #ci ,*apt] #a b#i ,f ! capital co/ ( deprecia# prop]ty1 subtract any 9ve/;t tax cr$it allocat$ 6! 9dividual "pn]s4 ,we 3sid] ? alloc,n 6be made at ! 5d (! "pn]%ip's fiscal p]iod4 ,al1 y m/ reduce ! capital co/ 0any type ( gov]n;t assi/.e rcvd4 ,box #he ( yr ,t#ejac or ,t#ejac;,a slip w %[ ! am.t ( ,,cca ! "pn]%ip claim$ on yr 2half4 ,? am.t has alr be5 deduct$ f yr busi;s 9come 9 box #ce or yr profes.nal 9come 9 box #cg (! ,t#ejac or ,t#ejac;,a slip4 ,d .n deduct ? am.t ag4 ,see ,*apt] #d 2g9n+ on page #bi = m details ab ,,cca &! adju/;ts 6capital co/4 ,any taxa# capital ga9 or recapture f ! sale ( prop]ty ! "pn]%ip [ns is 9clud$ 9 ! 9come (! "pn]%ip4 ,al1 any all[a# capital or t]m9al loss f ! sale ( "pn]%ip-[n$ prop]ty is ! loss (! "pn]%ip4 ,= m details ab capital ga9s & losses1 z well z recapture & t]m9al losses1 r1d ,*apt] #d 2g9n+ on page #bi4 #dj ,eligi# capital exp5ditures c#i ,a "pn]%ip c [n eligi# capital prop]ty & deduct an annual all[.e4 ,any 9come f ! sale ( eligi# capital prop]ty ! "pn]%ip [ns is 9come (! "pn]%ip4 ,= m details ab eligi# capital exp5ditures1 r1d ,*apt] #e 2g9n+ on page #df4 ,limit$ "pn]%ip ,a limit$ "pn]%ip is a "pn]%ip t gives xs "pn]s limit$ responsibilities t >e simil> 6^? giv5 6%>ehold]s (a corpor,n4 ,a limit$ "pn]'s liabil;y z a "pn] (! "pn]%ip is limit$1 z oppos$ 6t (a g5]al "pn] :o has unlimit$ liabil;y4 ,gds & s]vices tax/h>moniz$ sales tax 7,,gst/,,hst7 rebate = "pn]s ,if y >e an 9dividual :o is a memb] (a "pn]%ip1 y may 2 a# 6get a rebate =! ,,gst/,,hst y pd on c]ta9 exp5ses4 #da ,*apt] #a d#i ,! rebate is bas$ on ! ,,gst/,,hst y pd on exp5ses y deduct$ f yr %>e (! "pn]%ip 9come on yr 9come tax return4 ,h["e1 special rules apply if yr "pn]%ip pd y an all[.e = ^? exp5ses4 ,z an 9dividual :o is a memb] (a "pn]%ip1 y may qualify =! ,,gst/,,hst "pn] rebate if3 --! "pn]%ip is a ,,gst/,,hst regi/rant2 & --y p]son,y pd ,,gst/,,hst on exp5ses t3 --y did n 9cur on ! a3.t (! "pn]%ip2 & --y deduct$ f yr %>e (! "pn]%ip 9come on yr 9come tax return4 ,examples ( exp5ses subject 6,,gst/,,hst >e vehicle co/s1 m1ls1 & 5t]ta9;t4 ,! rebate may al apply 6! ,,gst/,,hst y pd on motor vehicles1 musical 9/ru;ts1 & aircraft1 = : y deduct$ ,,cca4 ,! eligi# por;n ( ,,cca is ! "p (! ,,cca t y deduct$ on yr 9come tax #db ,*apt] #a e#i return 9 ! tax ye>1 t relates specific,y 6a motor vehicle1 musical 9/ru;t1 or aircraft on : y pd ,,gst/,,hst & t is eligi# =! rebate 6! ext5t t ! "pn]%ip us$ ! prop]ty 6make taxa# supplies4 ,if y deduct ,,cca on m ?an "o prop]ty (! same class1 y h 6sep>ate ! por;n (! ,,cca =! prop]ty t qualifies =! rebate f ! ,,cca =! o!r prop]ty4 ,if any "p (! rebate relates 6! ,,cca deduc;n =a motor vehicle1 a musical 9/ru;t1 or an aircraft1 y h 6reduce ! undepreciat$ capital co/ 7,,ucc7 7r1d ! def9i;n on page #cj7 (! relat$ prop]ty 0t "p (! rebate4 ,file ,=m ,,gst#cgj1 ,employee & ,"pn] ,,gst/,,hst ,rebate ,applic,n1 6claim yr ,,gst/,,hst rebate = "pn]s4 ,if y rcv ? rebate1 y h 69clude x 9 yr 9come =! tax ye> 9 : y rcv x4 ,= example1 if 9 #bjji y rcv a ,,gst/,,hst rebate relat+ 6! #bjjh tax ye> 7on yr #bjjh notice ( assess;t71 y h #dc ,*apt] #a f#i 69clude ! am.t (! rebate on yr 9come tax return = #bjji3 --report ! am.t (! ,,gst/,,hst rebate = "pn]s t relates 6eligi# exp5ses o!r ?an ,,cca on l9e #iigd 9 ,"p #f ( yr #bjji ,=m ,t#babe1 ,/ate;t ( ,busi;s or ,profes.nal ,activities2 & --in column #b ( ,>ea ;,a on page #d ( yr #bjji ,=m ,t#babe1 reduce ! ,,ucc =! 2g9n+ ( #bjji 0! por;n (! rebate t relates 6! eligi# ,,cca4 ,= m 9=m,n1 see ,guide ,,rc#djia1 ,,gst/,,hst ,rebate = ,"pn]s1 : 9cludes ,=m ,,gst#cgj4 -------------------------------------#aj ,example ,patrick is a "pn] (! "pn]%ip call$ ,,abc ,3tract+4 ,! "pn]%ip is regi/]$ = ,,gst/,,hst & has a ,decemb] #ca ye>-5d4 ,"u ! "pn]%ip agree;t1 ,patrick is requir$ 6p]son,y pay 8 motor vehicle exp5ses4 ,! foll[+ >e 8 #bjji motor #dd ,*apt] #a a#aj vehicle exp5ses = : he did n rcv any all[.e or reimburse;t3 ,total eligi# exp5ses o!r ?an ,,cca """"""""""""""" 4#c1aej.hd ,,cca """""""""""""""""""""" #e1ajj.jj ,total eligi# exp5ses 9clud+ ,,cca """""""""""" 4#h1bej.hd ,patrick calculates ! ..,,gst/,,hst rebate = ."pn]s 6: he is 5titl$ z foll[s3 4#h1bej.hd multipli$ by 7#e divid$ 0#aje7 equals 4#cib.ij ,he w file ,=m ,,gst#cgj & 9clude 4#cib.ij on l9e #deg ( 8 ..#bjji 9come tax .return4 ,patrick calculates ! ..,,gst/,,hst rebate = ."pn]s relat$ 6his ..eligi# exp5ses o!r ?an .,,cca3 4#c1aej.hd multipli$ 0#e divid$ 0#aje equals 4#aej.jd ,:5 fil+ 8 #bjaj 9come tax #de ,*apt] #a b#aj return1 he w 9clude 4#aej.jd on l9e #iigd 9 ,"p #f on page #b ( 8 .#bjaj .,=m .,t#babe1 ,/ate;t ( ,busi;s or ,profes.nal ,activities4 ,patrick al calculates ! am.t (! ..,,gst/,,hst rebate = ."pn]s t relates 6,,cca3 4#e1ajj multipli$ 0#e divid$ 0#aje equals 4#bdb.hf ,:5 fil+ 8 #bjaj 9come tax ..return1 he w reduce ! #bjaj 2g9n+ .,,ucc ( 8 motor vehicle 04#bdb.hf 9 column #b ( ,>ea ;,a on page #d ( 8 .#bjaj .,=m .,t#babe4 ,9ve/;t tax cr$it ,an 9ve/;t tax cr$it 7,,itc7 lets y subtract1 f ! taxes y [e1 "p (! co/ ( "s types ( prop]ty y acquir$ or exp5ditures y 9curr$4 ,y may 2 a# 6claim ? tax cr$it 9 #bjji if y b"\ qualify+ prop]ty1 9curr$ qualifi$ exp5ditures1 or 7 #df ,*apt] #a c#aj allocat$ ren\nc$ ,canadian explor,n exp5ses4 ,y may al 2 a# 6claim ! cr$it if y h unus$ ,,itc's f ye>s 2f #bjji4 ,= m details ab ,,itc's1 see ,=m ,t#bjch7,,9d71 ,9ve/;t ,tax ,cr$it 7,9dividuals74 ,appr5tice%ip job cre,n tax cr$it 7,,ajctc7 ,! ,,ajctc is a non-refunda# 9ve/;t tax cr$it equal 6#aj@3p (! eligi# sal>ies & wages paya# 6eligi# appr5tices 9 respect ( employ;t af ,may #a1 #bjjf4 ,! maximum cr$it an employ] c claim is 4#b1jjj p] ye> = ea* eligi# appr5tice4 ,an 8eligi# appr5tice0 is "s"o :o is "w+ 9 a prescrib$ trade 9 ! f/ two ye>s ( 8 or h] appr5tice%ip 3tract4 ,! 3tract m/ 2 regi/]$ )a f$]al1 prov9cial1 or t]ritorial gov]n;t "u an appr5tice%ip program design$ 6c]tify or lic5se 9dividuals 9 ! trade4 #dg ,*apt] #a d#aj ,! am.t (! cr$it is a4$ 6! 9ve/;t tax cr$it & is availa# 6reduce f$]al taxes paya# =! tax ye>4 ,unus$ am.ts c 2 c>ri$ back #c ye>s & c>ri$ =w>d #bj ye>s4 ,! ,,ajctc is report$ on ,=m ,t#bjch7,,9d71 ,9ve/;t ,tax ,cr$it 7,9dividuals74 ,= m 9=m,n ab ,,itc's1 see ,=m ,t#bjch7,,9d74 ,9ve/;t tax cr$it = * c>e spaces ,employ]s :o c>ry on a busi;s 9 ,canada1 o!r ?an a * c>e s]vices busi;s1 c 9clude a non-refunda# am.t 9 _! 9ve/;t tax cr$it calcul,n = ea* new * c>e space !y cr1te 9 a lic5s$ * c>e facil;y !y op]ate =! b5efit (! *n ( _! employees4 ,? non-refunda# am.t is equal 6:i*"e is less3 4#aj1jjj p] * c>e space cr1t$ .or #be@3p (! eligi# exp5diture 9curr$ af ,m>* #ah1 #bjjg4 ,= m 9=m,n1 see ,=m ,t#bjch7,,9d71 ,9ve/;t ,tax ,cr$it 7,9dividuals74 #dh ,*apt] #b--,9come f e#aj ,busi;s or ,profes.n ,sole proprietor%ips ,if y >e a sole proprietor1 y m/ -plete all ! applica# >1s & l9es on ,=m ,t#babe1 ,/ate;t ( ,busi;s or ,profes.nal ,activities4 ,"pn]%ips ,! details ( yr busi;s or profes.nal activities t y h 6give u dep5d on ! type ( yr "pn]%ip4 ,if y >e a "pn] (a "pn]%ip t .has .6.file a "pn]%ip 9=m,n return1 -plete ,=m ,t#babe z foll[s3 --,complete ! 8,id5tific,n0 >ea4 --,5t] ! am.t ( 9come %[n 9 box #ce1 8,busi;s 9come10 or box #cg1 8,profes.nal 9come10 ( yr ,t#ejac slip1 ,/ate;t ( ,"pn]%ip ,9come1 or yr ,t#ejac;,a slip1 ,/ate;t ( ,"pn]%ip ,9come = ,tax ,%elt]s & ,ren\nc$ ,res\rce ,exp5ses1 #di ,*apt] #b f#aj on l9e #icfi1 8,net 9come 7loss7 2f adju/;ts10 9 ,"p #e on page #b4 --,complete ! 8,o!r am.ts deducti# f yr %>e ( net "pn]%ip 9come 7loss70 *>t f.d on page #c (! =m 6claim any exp5ses = : ! "pn]%ip did n reimburse y & any o!r deducti# am.ts4 ,al1 -plete ! 8,calcul,n ( busi;s-use-(-home exp5ses0 *>t if applica#4 ,= m 9=m,n1 r1d page #bg4 --,5t] yr %>e (! net 9come or loss f ! busi;s on l9e #iidf1 8,yr net 9come 7loss710 9 ,"p #f on page #b4 ,if y did n make any adju/;ts 6! am.t 9 box #ce or box #cg ( yr ,t#ejac or ,t#ejac;,a slip1 ! am.t y 5t] on l9e #iidf w 2 ! same z ! am.t y 5t]$ on l9e #icfi4 -------------------------------------#aa ,if y >e a "pn] (a "pn]%ip t ..does n h 6.file a "pn]%ip 9=m,n return1 -plete ,=m ,t#babe z foll[s3 #ej ,*apt] #b a#aa --,complete ! 8,id5tific,n0 >ea4 --,calculate ! busi;s 9come = all "pn]s4 --,calculate ! busi;s "p ( exp5ses = all "pn]s4 --,complete ! 8,o!r am.ts deducti# f yr %>e ( net "pn]%ip 9come 7loss70 *>t on page #c 6claim any exp5ses = : ! "pn]%ip did n reimburse y & any o!r deducti# am.ts4 ,al1 -plete ! 8,calcul,n ( busi;s-use- (-home exp5ses0 *>t if applica#4 ,= m 9=m,n1 r1d page #bg4 --,complete ! 8,details ( o!r "pn]s0 *>t on page #c4 ,6see if yr "pn]%ip has 6file a "pn]%ip 9=m,n return1 r1d1 8,:at is a "pn]%ip80 on page #h4 ,we expla9 h[ 6-plete ea* (! l9es on ,=m ,t#babe 9 ? *apt]1 z well z 9 ,*apt] #c 2g9n+ on page #af4 #ea ,h[ 6-plete ,=m ,t#babe1 b#aa ,/ate;t ( ,busi;s or ,profes.nal ,activities ,9 ! mi4le ( ? guide1 y w f9d two copies ( ,=m ,t#babe1 ,/ate;t ( ,busi;s or ,profes.nal ,activities4 ,? =m c help y calculate yr 9come & exp5ses = 9come tax purposes4 ,we 5c\rage y 6use x4 ,h["e1 we w 3t9ue 6a3ept o!r types ( f9ancial /ate;ts4 ,if y h .bo? busi;s & profes.nal 9come1 y m/ -plete a .sep>ate ,=m ,t#babe = ea*4 ,y m/ al -plete a sep>ate =m = ea* busi;s or profes.nal activ;y y op]ate1 if y h .two .or .m ( ei4 ,= m 9=m,n1 see ,9t]pret,n ,bullet9 ,,it-#bjf1 ,sep>ate ,busi;ses4 ,file ea* -plet$ ,=m ,t#babe ) yr 9come tax return4 ,id5tific,n ,-plete all ! l9es t apply 6yr busi;s or profes.nal activities4 #eb ,*apt] #b c#aa ,5t] yr ,busi;s ,numb] 7,,bn71 assign$ 0! ,,cra1 9 ! appropriate >ea4 ,9dicate ! p]iod yr busi;s ye> cov]$1 : is yr fiscal p]iod4 ,= an explan,n ( fiscal p]iod1 r1d page #e4 ,5t] ! .9du/ry .code t corresponds 6yr busi;s f ! app5dix 2g9n+ on page #ej4 ,if m ?an "o code describes yr busi;s1 or if yr busi;s has m ?an "o activ;y1 use ! code t mo/ closely describes yr ma9 busi;s activ;y4 ,= example1 y mie claim+ a deduc;n or losses = #bjji1 atta* 6yr 9come tax return any applica# ,t#ejjc slip1 ,/ate;t ( ,tax ,%elt] ,9=m,n1 & ,t#ejac;,a slip1 ,/ate;t ( ,"pn]%ip ,9come = ,tax ,%elt]s & ,ren\nc$ ,res\rce ,exp5ses1 &a -plet$ ,=m ,t#ejjd1 ,claim = ,tax ,%elt] #ec ,*apt] #b d#aa ,loss or ,deduc;n4 ,= m 9=m,n on tax %elt]s1 g to _+www.cra.gc.ca/taxshelters_:4 ,note ,tax %elt] numb]s >e us$ = id5tific,n purposes only4 ,!y d n gu>antee t taxpay]s >e 5titl$ 6rcv ! propos$ tax b5efits4 ,tax tip ,= m 9=m,n ab h[ 6protect yrf ag/ tax s*emes1 visit _+www.cra.gc.ca/alert_:4 ,if yr busi;s or profes.nal activities >e a "pn]%ip1 id5tify yr p]c5tage (! "pn]%ip & 5t] ! "pn]%ip fil] id5tific,n numb] if applica#4 ,if y >e n prep>+ ,=m ,t#babe yrf1 5t] ! "n & a4ress (! p]son or firm t is prep>+ x = y4 #ed ,"p #a--,busi;s 9come e#aa ,tick ! box 9 ,"p #a 69dicate t y h non-profes.nal .busi;s .9come4 ,y %d -plete ? "p only if y h busi;s 9come4 ,if y h profes.nal 9come1 l1ve ? "p blank & -plete ,"p #b4 ,if y h bo? busi;s & profes.nal 9come1 y m/ -plete a sep>ate ,=m ,t#babe = ea*4 ,l9e ;,a--,sales1 -mis.ns1 or fees ,yr sales 9clude all sales1 :e!r y rcv or w rcv m"oy1 "s?+ ! same z m"oy 7s* z cr$it units t h a no;nal m"ot>y value71 or "s?+ f b>t]+4 ,b>t]+ o3urs :5 two p agree 6ex*ange gds or s]vices )\t us+ m"oy4 ,9t]pret,n ,bullet9 ,,it-#dij1 ,b>t] ,transac;ns1 has m details4 ,if y usu,y deduct ,,gst & ,,pst1 or ,,hst1 or returns & all[.es directly f sales :5 !y take place1 y c %[ yr net sales 7af ,,gst & ,,pst1 or ,,hst1 & returns & all[.es7 on l9e ;,a4 #ee ,*apt] #b f#aa ,!n1 d n 5t] ! ,,gst & ,,pst1 or ,,hst1 or returns & all[.es deduct$ on ! foll[+ l9es4 ,if ,,gst & ,,pst1 or ,,hst1 & returns & all[.es >e n deduct$ directly f sales1 %[ ,,gst & ,,pst1 or ,,hst1 & returns & all[.es sep>ately on ! appropriate l9es4 ,note ,if y elect$ 6use ! qk me?od op;n 6calculate yr ,,gst/,,hst remitt.es1 -plete ! foll[+ calcul,n3 --,5t] ! sales 7net ( ,,gst/,,hst collect$ or collecti#7 on l9e ;,a4 --,!n subtract any ,,pst1 returns1 all[.es1 & 4c.ts 9clud$ 9 sales 6>rive at adju/$ gross sales on l9e ;,c4 -------------------------------------#ab ,report ! #a@3p cr$it on eligi# sales 7maximum 4#cjj71 t y claim$ on l9e #ajg ( ,=m ,,gst#cd1 on l9e #hbcj 9 ,"p #c ( ,=m ,t#babe4 #ef ,*apt] #b a#ab ,= m 9=m,n on ! qk me?od & examples ( h[ x "ws1 see ,guide ,,rc#djeh1 ,qk ,me?od ( ,a3.t+ = ,,gst/,,hst4 ,if y >e a self-employ$ -mis.n salesp]son1 5t] ! -mis.ns y rcvd on ? l9e4 ,l9e ;,c--,adju/$ gross sales ,5t] yr sales1 -mis.ns1 & fees .m9us any ,,gst & ,,pst1 or ,,hst1 & any returns1 all[.es1 & 4c.ts1 if ^! h be5 9clud$ 9 yr sales4 ,if y elect$ 6use ! qk me?od op;n 6calculate yr ,,gst/,,hst remitt.es1 r1d ! note 9 8,l9e ;,a--,sales1 -mis.ns1 or fees0 on page #aa 6calculate yr adju/$ gross sales4 ,5t] ? am.t on l9e #hjjj 9 ,"p #c on page #a ( ,=m ,t#babe4 #eg ,"p #b--,profes.nal 9come b#ab ,tick ! box 9 ,"p #b 69dicate t y h .profes.nal .9come4 ,y %d -plete ? "p .only if y h profes.nal 9come4 ,if y h busi;s 9come1 l1ve ? "p blank & -plete ,"p #a4 ,if y h bo? profes.nal & busi;s 9come1 y m/ -plete a sep>ate ,=m ,t#babe = ea*4 ,z m5;n$ 9 ,*apt] #a on page #e1 profes.nal activities >e busi;s activities4 ,usu,y1 y calculate yr 9come f profes.nal activities us+ ! same rules z =a busi;s4 ,h["e1 "s aspects ( profes.nal activities >e di6]5t f ^? ( o!r types ( busi;ses4 ,"s ( ^! di6];es >e 4cuss$ 9 ? sec;n4 ,l9e ;,d--,profes.nal fees ,yr profes.nal 9come 9cludes all fees y rcv = gds or s]vices y provide1 :e!r y rcv or w rcv m"oy1 "s?+ ! same z m"oy 7s* z cr$it units t h a no;nal m"ot>y value71 or "s?+ f b>t]+4 ,b>t]+ #eh ,*apt] #b c#ab o3urs :5 two p agree 6ex*ange gds or s]vices )\t us+ m"oy4 ,= m 9=m,n1 see ,9t]pret,n ,bullet9 ,,it-#dij1 ,b>t] ,transac;ns4 ,z a profes.nal1 yr 9come g5],y 9cludes ! value ( yr "w-in-progress 7,,wip74 ,,wip is gds or s]vices t y h n yet -plet$ at ! 5d ( yr fiscal p]iod4 ,yr profes.nal fees =! curr5t ye> >e ! total (3 --all am.ts y rcvd dur+ ! ye> = profes.nal s]vices1 :e!r y provid$ ! s]vices 2f or dur+ ! curr5t ye> or af yr curr5t ye>-5d2 .,plus3 --all am.ts receiva# at ! 5d (! curr5t ye> = profes.nal s]vices y provid$ dur+ ! curr5t ye>2 & --! value ( yr ,,wip at ! 5d ( yr curr5t ye> = : y h n rcvd any am.t dur+ ! ye>2 .,m9us3 --all am.ts receiva# at ! 5d ( yr previ\s ye>-5d2 & #ei ,*apt] #b d#ab --! value ( yr ,,wip t 0 9clud$ 9 profes.nal fees at ! 5d ( yr previ\s ye>4 ,! result is ! am.t y 5t] at l9e ;,d4 ,if y usu,y deduct ,,gst & ,,pst1 or ,,hst1 directly f yr profes.nal fees :5 y e>n !m1 y c %[ yr net profes.nal fees 7af ,,gst & ,,pst1 or ,,hst7 on l9e ;,d4 ,9 ? case1 d n 5t] ! ,,gst & ,,pst1 or ,,hst1 deduct$ on ! foll[+ l9e4 ,if ,,gst & ,,pst1 or ,,hst1 >e n deduct$ directly f yr profes.nal fees1 %[ ,,gst & ,,pst1 or ,,hst1 sep>ately on ! appropriate l9e4 ,note ,if y elect$ 6use ! qk me?od op;n 6calculate yr ,,gst/,,hst remitt.es1 -plete ! foll[+ calcul,n3 --,f/ 5t] ! profes.nal fees 9clud+ "w-in-progress 7,,wip7 7net ( ,,gst/,,hst collect$ or collecti#7 on l9e ;,d4 #fj ,*apt] #b e#ab --,next subtract any ,,pst 9clud$ 9 ! fees & ,,wip at ! 5d (! ye> if y elect 6exclude x4 --,!n add ! ,,wip =! />t (! ye> if exclud$ at ! 5d ( la/ ye> 6>rive at yr adju/$ profes.nal fees on l9e ;,f4 ,report ! #a@3p cr$it on eligi# profes.nal fees 7maximum 4#cjj7 t y claim$ on l9e #ajg ( ,=m ,,gst#cd1 ,gds & ,s]vices ,tax/,h>moniz$ ,sales ,tax ,return = ,regi/rants1 on l9e #hbcj 9 ,"p #c ( ,=m ,t#babe4 ,= m 9=m,n ab ! qk me?od & examples ( h[ x "ws1 see ,guide ,,rc#djeh1 ,qk ,me?od ( ,a3.t+ = ,,gst/,,hst4 ,elec;n 6exclude yr ,,wip ,y c *oose 6exclude yr ,,wip :5 y calculate yr 9come if y >e "o (! foll[+ profes.nals3 #fa ,*apt] #b f#ab --an a3.tant2 --a d5ti/2 --a lawy] 79clud+ a not>y 9 ,quebec72 --a m$ical doctor2 --a *iropractor2 or --a vet]9>ian4 ,if y did n *oose 6exclude yr ,,wip 9 any previ\s ye>1 y c d s 9 #bjji4 ,y d n ne$ a special =m -------------------------------------#ac 6d ?4 ,atta* a lr 6yr 9come tax return tell+ u t y want 6exclude yr ,,wip4 ,y c al exclude yr ,,wip 0do+ ! foll[+3 --,on ! 8,"w-in-progress 7,,wip71 5d (! ye>1 p] elec;n 6exclude ,,wip0 l9e1 write ! am.t y 9clud$ z ,,wip at ! 5d (! ye> 9 yr profes.nal fees on l9e ;,d4 --,on ! 8,"w-in-progress1 />t (! ye>1 p] elec;n 6exclude ,,wip0 l9e1 write ! am.t ( yr ,,wip at ! #fb ,*apt] #b a#ac />t (! ye>1 if y exclud$ x at ! 5d ( la/ ye>4 ,make ? elec;n :5 y file ! orig9al 9come tax return 6: x relates4 ,we w n a3ept an elec;n :5 y file an am5d$ return4 ,= "pn]%ips1 an au?oriz$ "pn] m/ *oose 6exclude ! "pn]%ip's ,,wip on 2half ( all "pn]s4 ,! *oice 6exclude ,,wip /ays 9 e6ect = ea* foll[+ ye>1 un.s y file an applic,n & we let y make ! *ange4 ,= m 9=m,n ab exclud+ ,,wip1 see ,9t]pret,n ,bullet9 ,,it-#deg1 ,elec;n 0,profes.nals 6,exclude ,"w 9 ,progress f ,9come4 ,l9e ;,f--,adju/$ profes.nal fees ,5t] yr profes.nal fees plus yr ,,wip =! />t (! ye> if y exclud$ x at ! 5d ( la/ ye>1 .m9us any ,,gst & ,,pst1 or #fc ,*apt] #b b#ac ,,hst1 9clud$ 9 yr fees & yr ,,wip at ! 5d (! ye> if y elect 6exclude x4 ,if y elect$ 6use ! qk me?od op;n 6calculate yr ,,gst/,,hst remitt.es1 r1d ! note 9 8,l9e ;,d--,profes.nal fees0 on page #ab 6calculate yr adju/$ profes.nal fees4 ,5t] ? am.t on l9e #hjjj 9 ,"p #c4 ,"p #c--,gross busi;s or profes.nal 9come ,l9e #hjjj--,adju/$ gross sales or adju/$ profes.nal fees ,if y >e -plet+ ,=m ,t#babe =a busi;s activ;y1 5t] yr adju/$ gross sales f l9e ;,c 9 ,"p #a4 ,if y >e -plet+ ,=m ,t#babe =a profes.nal activ;y1 5t] yr adju/$ profes.nal fees f l9e ;,f 9 ,"p #b4 #fd ,l9e #hbij--,res]ves c#ac deduct$ la/ ye> ,9clude 9 yr #bjji 9come any res]ves y deduct$ = #bjjh4 ,= m details1 r1d 8,all[a# res]ves0 on page #bd4 ,l9e #hbcj--,o!r 9come ,5t] ! total 9come y rcvd f o!r s\rces4 ,"s examples ( o!r 9come y wd report on ? l9e >e3 --a recov]y ( an am.t y wrote (f z a bad debt 9 a previ\s ye>2 --! value ( vac,n trips or o!r prizes aw>d$ 6y 2c ( yr busi;s or profes.nal activities2 --pay;ts = l& y l1s$ = petroleum or natural gas explor,n4 ,= m 9=m,n1 see ,9t]pret,n ,bullet9 ,,it-#bjj1 ,surface ,r5tals & ,f>m+ ,op],ns2 & --grants1 subsidies1 9c5tives1 or assi/.e y get f a gov]n;t1 gov]n;t ag5cy1 or non-gov]n;t ag5cy4 #fe ,*apt] #b d#ac ,z 9put tax cr$its 7,,itc's7 >e 3sid]$ gov]n;t assi/.e1 9clude on ? l9e ! am.t y claim$ on l9e #ajh ( ,=m ,,gst#cd4 ,if y us$ ! qk me?od op;n 6calculate yr ,,gst/,,hst remitt.es1 ! am.t on l9e #ajh ( ,=m ,,gst#cd 9cludes ! #a@3p cr$it 7maximum 4#cjj7 t y claim$ on l9e #ajg ( t =m4 ,= m 9=m,n1 see ,9t]pret,n ,bullet9 ,,it-#bgc1 ,gov]n;t ,assi/.e-- ,g5]al ,-;ts4 ,note ,report ! am.t (! ,,gst/,,hst rebate = "pn]s t relates 6eligi# exp5ses o!r ?an ,,cca on l9e #iigd 9 ,"p #f on page #b ( ,=m ,t#babe4 ,r1d 8,"p #f-- yr net 9come 7loss70 on page #bg4 ,al1 d n 9clude 9 9come any o!r rebate1 grant1 or assi/.e y rcv1 b subtract t am.t f ! applica# exp5se or ! co/ ( capital prop]ty 6: x #ff ,*apt] #b e#ac relates4 ,if ! rebate1 grant1 or assi/.e relates 6a deprecia# asset1 subtract ! am.t y rcvd f ! asset's capital co/4 ,? w a6ect ! am.t ( ,,cca y c claim = t asset4 ,= 9=m,n ab ,,cca1 r1d ,*apt] #d 2g9n+ on page #bi4 ,if ! asset qualifies =! 9ve/;t tax cr$it1 ? reduc;n 6! capital co/ w al a6ect yr claim =! 9ve/;t tax cr$it4 ,see ,=m ,t#bjch7,,9d71 ,9ve/;t ,tax ,cr$it 7,9dividuals71 = details4 ,if y _c apply ! rebate1 grant1 or assi/.e 6reduce a "picul> exp5se or an asset's capital co/1 9clude ! total on l9e #hbcj1 8,o!r 9come40 ,? am.t m/ 2 9clud$ 9 9come 6! ext5t t x 0 n us$ 6reduce ! co/ (a prop]ty or ! am.t ( an \tlay or exp5se4 ,l9e #hbii--,gross busi;s or profes.nal 9come ,5t] yr gross busi;s or profes.nal 9come4 ,? is yr adju/$ gross sales #fg ,*apt] #b f#ac or adju/$ profes.nal fees 7l9e #hjjj7 plus any res]ves deduct$ la/ ye> 7l9e #hbij7 & any o!r 9come 7l9e #hbcj74 ,5t] ? am.t on ! appropriate l9e ( yr 9come tax return4 ,note ,y h 6regi/] = ,,gst/,,hst if y provide taxa# supplies 9 ,canada & yr total rev5ues f taxa# supplies 72f exp5ses7 f all yr busi;ses >e m ?an 4#cj1jjj ov] ! la/ f\r 3secutive cal5d> qu>t]s or 9 any s+le cal5d> qu>t]4 ,"p #d--,co/ ( gds sold & gross pr(it ,-plete ? "p if y h a busi;s & yr busi;s buys gds = resale or makes gds = sale4 -------------------------------------#ad ,claim ! co/ (! gds y buy or make = sale 9 ! fiscal p]iod 9 : y sell #fh ,*apt] #b a#ad !m4 ,5t] only ! busi;s "p (! co/s on ! =m4 ,6calculate yr co/ ( gds sold1 y ne$ 6"k ! foll[+3 --! value ( yr 9v5tory at ! />t ( yr fiscal p]iod2 --! value ( yr 9v5tory at ! 5d ( yr fiscal p]iod2 & --! co/ ( yr pur*ases 7net ( 4c.ts7 =! fiscal p]iod4 ,l9e #hcjj--,op5+ 9v5tory & ,l9e #hejj--,clos+ 9v5tory ,5t] yr op5+ & clos+ 9v5tory on ! appropriate l9es4 ,^! am.ts m/ 9clude raw mat]ials1 gds 9 process1 & f9i%$ gds4 ,! way y value yr 9v5tory is important :5 y det]m9e yr 9come4 ,= 9come tax purposes1 *oose "o (! foll[+ two me?ods3 --value yr 5tire 9v5tory at xs ..fair m>ket value 7.,,fmv7 7r1d ! def9i;n on page #bi74 ,use #fi ,*apt] #b b#ad ei ! price y wd pay 6replace an item or ! am.t y wd get if y sold an item2 or --value 9dividual items 9 yr 9v5tory at ei _! ,,fmv or _! co/1 :i*"e is less4 ,co/ is ! price y 9cur = an item4 ,co/ al 9cludes any exp5ses y 9cur 6br+ ! item 6! busi;s loc,n & 6put x 9 a 3di;n s t y c use x 9 ! busi;s4 ,:5 y _c easily tell "o item f ano!r1 y c value ! items z a gr\p4 ,once y h *os5 a me?od = valu+ yr 9v5tory1 y h 6use t me?od 3si/5tly4 ,if ? is yr f/ ye> ( report+ busi;s 9come1 y c *oose ei me?od 6value yr 9v5tory4 ,9 yr f/ ye> ( busi;s1 y w n h an am.t 65t] on l9e #hcjj4 ,if ? is n yr f/ ye> ( busi;s1 3t9ue 6use ! same me?od y us$ 9 pa/ ye>s4 ,! value ( yr 9v5tory at ! />t (a fiscal p]iod has 6be ! same z ! value ( yr 9v5tory at ! 5d (! prec$+ fiscal p]iod4 #gj ,*apt] #b c#ad ,d an actual /ock c.t at ! 5d ( ea* fiscal p]iod1 un.s y use a p]petual 9v5tory sy/em4 ,"u ? sy/em1 y d p]iodic /ock c.ts & keep a writt5 record ( ea* c.t4 ,rememb] 6keep yr 9v5tory records ) yr o!r records4 ,= m 9=m,n ab valu+ 9v5tory1 see ,9t]pret,n ,bullet9 ,,it-#dgc1 ,9v5tory ,valu,n4 ,busi;ses t >e adv5tures or 3c]ns 9 ! nature ( trade m/ value _! 9v5tory at co/4 ,9v5tory value ( an >ti/ic 5d1v\r ,an >ti/ic 5d1v\r o3urs :5 y >e 9 ! busi;s ( cr1t+ pa9t+s1 murals1 orig9al pr9ts1 et*+s1 draw+s1 sculptures1 or simil> "ws ( >t4 ,an >ti/ic 5d1v\r does n 9clude reproduc+ "ws ( >t4 ,:5 y calculate yr 9come f an >ti/ic 5d1v\r1 y c *oose 6value yr clos+ 9v5tory at nil4 ,6d ?1 %[ yr clos+ 9v5tory z 8nil0 on l9e #hejj4 ,yr #ga ,*apt] #b d#ad *oice /ays 9 e6ect = ea* foll[+ ye>1 un.s y reque/ a *ange f ,,cra & we all[ ! *ange4 ,? op;n may n 2 us$ if y did n cr1te ! "w ( >t or y >e 9 ! busi;s ( reproduc+ "ws ( >t4 ,= m 9=m,n1 see ,9t]pret,n ,bullet9 ,,it-#ejd1 ,visual ,>ti/s & ,writ]s4 ,gifts ( 9v5tory 0an >ti/ ,if y donate a "w ( >t y cr1t$1 y may n h 6report a pr(it on yr don,n = 9come tax purposes4 ,6b5efit f ? tax tr1t;t1 yr gift m/ fall "u ! def9i;n ( gifts ( c]tifi$ cultural prop]ty4 ,= m 9=m,n ab gifts & don,ns1 see ,pamphlet ,p#aac1 ,gifts & ,9come ,tax4 ,l9e #hcbj--,pur*ases dur+ ! ye> 7net ( returns1 all[.es1 & 4c.ts7 ,! co/ ( gds y buy 6resell or use 9 manufactur+ o!r gds 9cludes co/s #gb ,*apt] #b e#ad s* z deliv]y1 freiges4 ,5t] ! am.t ( yr net pur*ases dur+ ! ye> 7yr total pur*ases .m9us any 4c.ts y rcvd74 ,"s"ts y mi4 ,d ? 2f y 5t] ! am.t (! pur*ases4 ,l9e #hcdj--,direct wage co/s ,9clude ! remun],n y pd 6employees :o "w directly 9 ! manufacture ( yr gds4 ,d n 9clude3 --9direct wages2 --a sal>y pd 6yrf or a "pn] 7r1d 8,details ( equ;y0 on page #bh72 & --)drawals y may h made f ! busi;s 7r1d 8,details ( equ;y0 on page #bh74 ,= m 9=m,n1 r1d 8,l9e #ijfj--,sal>ies1 wages1 & b5efits0 on page #ai4 #gc ,l9e #hcfj--,subcontracts #ae ,5t] all ! co/s ( hir+ \tside help 6p]=m tasks relat$ 6! gds y sell4 ,l9e #heai--,gross pr(it ,5t] yr gross pr(it1 : is yr gross busi;s 9come 7l9e #hbii 9 ,"p #c on page #a7 .m9us yr co/ ( gds sold 7l9e #heah74 ,! foll[+ example summ>izes ? *apt]4 ,s9ce ! rules = calculat+ busi;s & profes.nal 9come >e simil>1 \r example focuses on a busi;s4 ,example ,ca?y is ! sole proprietor (a fa%ion b\tique t has a ,decemb] #ca fiscal ye>-5d4 ,%e r5ts ! premises ": ! /ore is locat$4 ,ca?y 5t]$ ! foll[+ 9 h] sales j\rnals = #bjji3 #gd ,*apt] #b a#ae ,total sales 7exclud+ ,,gst & ,,pst1 or ,,hst7 4#ahi1jjj ,return$ items """"""""""""""" 4#a1jjj ,9v5tory at ! />t ( #bjji """ 4#cf1ejj ,9v5tory at ! 5d ( #bjji """" 4#cj1jjj ,pur*ases 79clud+ freimoniz$ sales tax 7,,hst7 7if 9clud$ 9 sales abv7 """""""""" 4#---- ,returns1 all[.es1 & 4c.ts 7if 9clud$ 9 sales abv7 """"""""" 4#a1jjj 7,b7 .,total (! abv two l9es """"""""""" 4#a1jjj 4#a1jjj 7,c7 .,adju/$ .gross .sales 7l9e ;,a .m9us l9e ;,b7 75t] ? am.t on l9e #hjjj 9 ,"p #c1 2l """"""""""""""" 4#ahh1jjj ,"p #c--,gross busi;s or profes.nal 9come 7,g7 & 7#hjjj7 ,adju/$ gross sales 7f l9e ;,c 9 ,"p #a7 or adju/$ profes.nal fees 7f l9e ;,f 9 ,"p #b7 """""""""" 4#ahh1jjj .,plus 7#hbij7 ,res]ves deduct$ la/ ye> """"" 4#---- #gf ,*apt] #b c#ae 7#hbcj7 ,o!r 9come """" 4#---- 7,h7 .,total (! abv two l9es """""""""""" 4#---- "" 4#---- 7#hbii7 ,gross busi;s or profes.nal 9come 7l9e ;,g .plus l9e ;,h7 """"""""""""""""""""""" 4#ahh1jjj ,5t] ? am.t on ! appropriate l9e ( yr 9come tax & b5efit return3 busi;s on l9e #afb1 profes.nal on l9e #afd1 or -mis.n on l9e #aff ,"p #d--,co/ ( gds sold & gross pr(it ,if y h busi;s 9come1 -plete ? "p4 ,5t] only ! busi;s "p (! co/s4 7,i7 ,gross busi;s 9come f l9e #hbii 9 ,"p #c on page #a "" 4#ahh1jjj 7#hcjj7 ,op5+ 9v5tory 79clude raw mat]ials1 gds #gg ,*apt] #b d#ae 9 process1 & f9i%$ gds7 """""""""""""" 4#cf1ejj 7#hcbj7 ,pur*ases dur+ ! ye> 7net ( returns1 all[.es1 & 4c.ts7 """""""""" 4#hh1jjj 7#hcdj7 ,direct wage co/s """""""""""""""" 4#---- 7#hcfj7 ,subcontracts """"""" 4#---- 7#hdej7 ,o!r co/s """"" 4#---- .,total (! abv five l9es """"""""""""" 4#abd1ejj .,m9us 7#hejj7 ,clos+ 9v5tory 79clude raw mat]ials1 gds 9 process1 & f9i%$ gds7 """""""""""""" 4#cj1jjj 7,j7 & 7#heah7 ..,co/ ( gds .sold 4#id1ejj 4#id1ejj #gh ,*apt] #b e#ae 7#heai7 .,gross .pr(it 7l9e ;,i .m9us l9e ;,j7 """""""""""""" 4#ic1ejj #gi #hj ,*apt] #c--,exp5ses #af ,? *apt] 4cusses ! m -mon exp5ses y min 9come f yr busi;s 79clud+ self-employ$ -mis.n sales7 or profes.nal activities4 ,9cur m1ns t y pd or w h 6pay ! exp5se4 ,curr5t or capital exp5ses8 ,r5ov,ns & exp5ses t ext5d ! use;l life ( yr prop]ty or improve x 2y xs orig9al 3di;n >e usu,y capital exp5ses4 ,h["e1 an 9cr1se 9 a prop]ty's m>ket value 2c ( an exp5se is n a major factor 9 decid+ :e!r ! exp5se is capital or curr5t4 ,6decide :e!r an am.t is a curr5t exp5se or a capital exp5se1 3sid] yr answ]s 6! "qs on ! foll[+ *>t3 ,transcrib]'s note3 7,! foll[+ is set up 9 ?ree columns3 ,column #a3 ,crit]ia ,column #b3 ,capital exp5ses ,column #c3 ,curr5t exp5ses7 #ha ,*apt] #c a#af ,crit]ia3 ,does ! exp5se provide a la/+ b5efit8 ,capital exp5ses3 ,a capital exp5se g5],y gives a la/+ b5efit or advantage4 ,= example1 ! co/ ( putt+ v9yl sid+ on ! ext]ior walls (a wood5 h\se is a capital exp5se4 ,curr5t exp5ses3 ,a curr5t exp5se is "o t usu,y recurs af a %ort p]iod4 ,= example1 ! co/ ( pa9t+ ! ext]ior (a wood5 h\se is a curr5t exp5se4 ,crit]ia3 ,does ! exp5se ma9ta9 or improve ! prop]ty8 ,capital exp5ses3 ,! co/ (a repair t improves a prop]ty 2y xs orig9al 3di;n is probably a capital exp5se4 ,if y replace wood5 /eps ) 3crete /eps1 ! co/ is a capital exp5se4 ,curr5t exp5ses3 ,an exp5se t simply re/ores a prop]ty 6xs orig9al 3di;n is usu,y a curr5t exp5se4 ,= example1 ! co/ ( repair+ wood5 /eps is a curr5t exp5se4 #hb ,*apt] #c b#af ,crit]ia3 ,is ! exp5se =a "p (a prop]ty or =a sep>ate asset8 ,capital exp5ses3 ,! co/ ( replac+ a sep>ate asset )9 t prop]ty is a capital exp5se4 ,= example1 ! co/ ( buy+ a -pressor = use 9 yr busi;s op],n is a capital exp5se4 ,! r1son is t a -pressor is a sep>ate asset & is n a "p (! build+4 ,curr5t exp5ses3 ,! co/ ( repair+ a prop]ty 0replac+ "o ( xs "ps is usu,y a curr5t exp5se4 ,= 9/.e1 electrical wir+ is "p (a build+4 ,"!=e1 an am.t y sp5d 6rewire is usu,y a curr5t exp5se1 z l;g z ! rewir+ does n improve ! prop]ty 2y xs orig9al 3di;n4 ,crit]ia3 ,:at is ! value (! exp5se8 7,use ? te/ only if y _c det]m9e :e!r an exp5se is capital or curr5t 03sid]+ ! ?ree previ\s te/s47 ,capital exp5ses3 ,-p>e ! co/ (! exp5se 6! value (! prop]ty4 ,g5],y1 if ! co/ #hc ,*apt] #c c#af is 3sid]a# 9 rel,n 6! value (! prop]ty1 x is a capital exp5se4 ,curr5t exp5ses3 ,? te/ is n a det]m9+ factor 0xf4 ,y mige am.t ( m"oy = ma9t5.e & repairs 6yr prop]ty all at once4 ,if ? co/ 0 = ord9>y ma9t5.e t 0 n d"o :5 x 0 nec1 x is a ma9t5.e exp5se1 & y deduct x z a curr5t exp5se4 ,crit]ia3 ,is ! exp5se = repairs 6! us$ prop]ty t y acquir$ made 6put x 9 suita# 3di;n = use8 ,capital exp5ses3 ,! co/ ( repair+ us$ prop]ty t y acquir$ 6put x 9 a suita# 3di;n = use 9 yr busi;s is 3sid]$ a capital exp5se ev5 ?\< 9 o!r circum/.es x wd 2 tr1t$ z a curr5t op]at+ exp5se4 ,curr5t exp5ses3 ,": ! repairs 7 = ord9>y ma9t5.e (a prop]ty t y alr _h 9 yr busi;s1 ! exp5se is usu,y curr5t4 #hd ,*apt] #c d#af ,crit]ia3 ,is ! exp5se = repairs made 6an asset 9 ord] 6sell x8 ,capital exp5ses3 ,! co/ ( repairs made 9 anticip,n (! sale (a prop]ty or z a 3di;n ( sale is reg>d$ z a capital exp5se4 ,curr5t exp5ses3 ,": ! repairs wd h be5 made anyway1 b a sale 0 negotiat$ dur+ ! c\rse (! repairs or af _! -ple;n1 ! co/ is reg>d$ z curr5t4 ,= m 9=m,n1 r1d ,*apt] #d 2g9n+ on page #bi & ,9t]pret,n ,bullet9 ,,it-#abh1 ,capital ,co/ ,all[.e-- ,deprecia# ,prop]ty4 ,y _c claim exp5ses y 9cur 6buy capital prop]ty4 ,h["e1 z a rule1 y c deduct any r1sona# curr5t exp5se y 9cur 6e>n busi;s or profes.nal 9come4 ,! deducti# exp5ses 9clude any ,,gst/,,hst y 9cur on ^! exp5ses less ! am.t ( any 9put tax cr$it claim$4 ,al1 s9ce y _c #he ,*apt] #c e#af deduct p]sonal exp5ses1 5t] only ! busi;s "p ( exp5ses on ,=m ,t#babe4 ,note ,:5 y claim ! ,,gst/,,hst y pd on yr busi;s exp5ses z an 9put tax cr$it1 reduce ! am.ts (! busi;s exp5ses y %[ on ,=m ,t#babe 0! am.t (! 9put tax cr$it4 ,d ? :5 ! ,,gst/,,hst = : y >e claim+ ! 9put tax cr$it 0 pd or 2came paya#4 ,simil>ly1 subtract any o!r rebate1 grant1 or assi/.e f ! exp5se 6: x applies4 ,5t] ! net figure on ! prop] l9e4 ,any s* assi/.e y claim =! pur*ase ( deprecia# prop]ty us$ 9 yr busi;s w a6ect yr claim = capital co/ all[.e 7,,cca74 ,if y _c apply ! rebate1 grant1 or assi/.e y rcvd 6reduce a "picul> exp5se1 or 6reduce an asset's capital co/1 9clude ! total on l9e #hbcj1 8,o!r 9come10 9 ,"p #c ( ,=m ,t#babe4 ,= m 9=m,n1 r1d 8,grants1 subsidies1 or o!r 9c5tives or 9duce;ts0 on page #cg4 #hf ,*apt] #c #ag 8..,5t] only ! busi;s ."p0 m1ns t any (! foll[+ >e n 9clud$ z "p ( yr exp5ses3 --sal>y or wages 79clud+ draw+s7 pd 6self1 "pn]7s71 or bo?2 --co/ ( salea# gds or s]vices t y1 yr family1 or yr "pn]s & _! families us$ 79clud+ items s* z food1 home ma9t5.e1 or busi;s prop]ties72 --don,ns 6*>ities & political 3tribu;ns2 --9t]e/ & p5alties y pd on yr 9come tax2 --life 9sur.e premiums2 --! "p ( any exp5ses t c 2 attribut$ 6non-busi;s use ( busi;s prop]ty2 & --mo/ f9es & p5alties impos$ af ,m>* #bb1 #bjjd1 "u ! law ( ,canada or a prov9ce or a =eign c.try4 #hg ,prepd exp5ses a#ag ,a prepd exp5se is an exp5se y pay = ah1d ( "t4 ,"u ! a3rual me?od ( a3.t+1 claim any exp5se y prepay 9 ! ye> or ye>s 9 : y get ! relat$ b5efit4 ,= example1 suppose yr fiscal ye>-5d is ,decemb] #ca1 #bjji4 ,on ,june #cj1 #bjji1 y prepay ! r5t on yr /ore =a full ye> 7,july #a1 #bjji1 6,june #cj1 #bjaj74 ,y c only deduct "o-half ( ? r5t z an exp5se 9 #bjji4 ,y deduct ! o!r half z an exp5se 9 #bjaj4 ,= m 9=m,n1 see ,9t]pret,n ,bullet9 ,,it-#dag1 ,prepd ,exp5ses & ,def]r$ ,*>ges4 ,"p #e--,net 9come 7loss7 2f adju/;ts ,l9e #heba--,adv]tis+ ,y c deduct exp5ses = adv]tis+1 9clud+ adv]tise;ts 9 ,canadian newspap]s & on ,canadian televi.n & radio /,ns4 #hh ,*apt] #c b#ag ,y c al 9clude on ? l9e any am.t y pd z a f9d]'s fee4 ,c]ta9 re/ric;ns apply 6! am.t (! exp5se y c deduct = adv]tis+ 9 a p]iodical4 ,y c deduct all ! exp5se if yr adv]tis+ is direct$ 6a ,canadian m>ket &! orig9al $itorial 3t5t 9 ! issue is #hj@3p or m (! total non-adv]tis+ 3t5t 9 ! issue4 ,y c deduct #ej@3p (! exp5se if yr adv]tis+ 9 a p]iodical is direct$ 6a ,canadian m>ket &! orig9al $itorial 3t5t 9 ! issue is less ?an #hj@3p (! total non-adv]tis+ 3t5t 9 ! issue4 ,al1 y _c deduct exp5ses = adv]tis+ direct$ ma9ly 6a ,canadian m>ket :5 y adv]tise )a =eign broadca/]4 ,l9e #hebc--,m1ls & 5t]ta9;t ,! maximum am.t y c claim = food1 b"eages1 & 5t]ta9;t exp5ses is #ej@3p ( ei ! am.t y 9cur or an am.t t is r1sona# 9 ! circum/.es1 :i*"e is less4 #hi ,*apt] #c c#ag ,^! limits al apply 6! co/ ( yr m1ls :5 y travel or g 6a 3v5;n1 3f];e1 or simil> ev5t4 ,h["e1 special rules c a6ect yr claim = m1ls 9 ^! cases4 ,= m details1 r1d 8,l9e #ibjj--,travel0 on page #bj & 8,3v5;n exp5ses0 on page #bd4 ,= #bjji1 #gj@3p ( exp5ses = food & b"eages 3sum$ 0a l;g-haul truck driv] dur+ an eligi# travel p]iod >e deducti#4 ,note ,? deducti# am.t w 9cr1se 6#ge@3p 9 #bjaj & 6#hj@3p af #bjaj4 ,an eligi# travel p]iod is a p]iod ( at l1/ #bd 3t9u\s h\rs "?\t : ! driv] is away f ! municipal;y & metropolitan >ea 9 : ! driv] resides 7! resid5tial loc,n7 & is driv+ a l;g-haul truck t transports gds to1 or f1 a loc,n t is 2y a radius ( at l1/ #afj kilometres f ! resid5tial loc,n4 #ij ,*apt] #c d#ag ,^! limits d n apply if3 --yr busi;s regul>ly provides food1 b"eages1 or 5t]ta9;t 6cu/om]s = -p5s,n 7= example1 a re/aurant1 hotel1 or motel72 --y bill yr cli5t or cu/om] =! m1l & 5t]ta9;t co/s1 & y %[ ^! co/s on ! bill2 --y 9clude ! am.t ( m1l & 5t]ta9;t exp5ses 9 an employee's 9come or wd 9clude !m if ! employee did n "w at a remote or special "w loc,n2 9 a4i;n1 ! am.t is n pd or paya# 9 respect (a 3f];e1 3v5;n1 sem9>1 or simil> ev5t2 ! special "w loc,n m/ 2 at l1/ #cj kilometres f ! close/ urban c5tre t has a popul,n ( #dj1jjj or m p2 --y 9cur m1l & 5t]ta9;t exp5ses 6provide a ,*ri/mas "py or simil> ev5t1 & y 9vite all yr employees f a "picul> loc,n2 h["e1 y >e limit$ 6six ( ^! ev5ts ea* ye>2 #ia ,*apt] #c e#ag --! m1l & 5t]ta9;t exp5ses y 9cur >e =a fund-rais+ ev5t t 0 ma9ly =! b5efit (a regi/]$ *>;y2 or --y provide m1ls 6an employee h\s$ at a tempor>y "w camp 3/ruct$ or 9/all$ specific,y =! purpose ( provid+ m1ls & a3ommod,n 6employees "w+ at a 3/ruc;n site2 9 a4i;n1 ! employee _c 2 expect$ 6return home daily4 ,5t]ta9;t exp5ses 9clude tickets & 5tr.e fees 6an 5t]ta9;t or sport+ ev5t1 gratuities1 cov] *>ges1 & room r5tals s* z = hospital;y suites4 ,= m 9=m,n1 see ,9t]pret,n ,bullet9 ,,it-#eah1 ,food1 ,b"eages1 & ,5t]ta9;t ,exp5ses4 ,l9e #heij--,bad debts ,y c deduct an am.t =a bad debt if3 --y _h det]m9$ t an a3.t receiva# is a bad debt 9 ! ye>2 & #ib ,*apt] #c f#ag --y _h alr 9clud$ ! receiva# 9 9come4 -------------------------------------#ah ,= m 9=m,n1 see ,9t]pret,n ,bullet9 ,,it-#ddb1 ,bad ,debts & ,res]ves = ,d\bt;l ,debts4 ,l9e #hfij--,9sur.e ,y c deduct all ord9>y -m]cial 9sur.e premiums y 9cur on any build+s1 ma*9]y1 & equip;t y use 9 yr busi;s4 ,= m 9=m,n ab claim+ yr motor vehicle 9sur.e co/s1 r1d 8,l9e #ibha--,motor vehicle exp5ses0 on page #bj4 ,! 9sur.e co/s relat$ 6busi;s use ( "w space 9 yr home h 6be claim$ on l9e #iide1 8,busi;s-use-(-home exp5ses40 ,= m 9=m,n1 r1d page #bg4 ,9 mo/ cases1 y _c deduct yr life 9sur.e premiums4 #ic ,l9e #hgaj--,9t]e/ a#ah ,y c deduct 9t]e/ y 9curr$ on m"oy borr[$ = busi;s purposes or 6acquire prop]ty = busi;s purposes4 ,h["e1 "! >e limits on3 --! 9t]e/ y c deduct on m"oy y borr[ 6buy a pass5g] vehicle4 ,r1d 8,9t]e/0 on page #bb4 --! am.t ( 9t]e/ y c deduct = vacant l&4 ,usu,y1 y c only deduct 9t]e/ up 6! am.t ( 9come f ! l& t rema9s af y deduct all o!r exp5ses4 ,y _c use any rema9+ am.ts ( 9t]e/ 6cr1te or 9cr1se a loss4 ,al1 y _c deduct 9t]e/ f o!r s\rces ( 9come4 ,fees1 p5alties1 or bonuses pd =a loan ,y c deduct ! fee y pay 6reduce ! 9t]e/ rate on yr loan4 ,y c al deduct any p5alty or bonus a f9ancial 9/itu;n *>ges y 6pay (f yr loan 2f x is due4 ,tr1t ! fee1 p5alty1 or bonus z #id ,*apt] #c b#ah prepd 9t]e/ & deduct x ov] ! rema9+ orig9al t]m ( yr loan4 ,= example1 if ! t]m ( yr loan is five ye>s & 9 ! ?ird ye> y pay a fee 6reduce yr 9t]e/ rate1 tr1t ? fee z a prepd exp5se & deduct x ov] ! rema9+ t]m (! loan4 ,= m 9=m,n1 r1d 8,prepd exp5ses0 on page #ag4 ,fees deducti# ov] five ye>s ,y c deduct c]ta9 fees y 9cur :5 y get a loan 6buy or improve yr busi;s prop]ty4 ,^! fees 9clude3 --applic,n1 appraisal1 process+1 & 9sur.e fees2 --loan gu>antee fees2 --loan brok]age & f9d]'s fees2 & --legal fees relat$ 6f9anc+4 ,y deduct ^! fees ov] a p]iod ( five ye>s1 reg>d.s (! t]m ( yr loan4 ,deduct #bj@3p 9 #bjji & #bj@3p 9 ea* (! f\r foll[+ ye>s4 ,! #bj@3p limit is reduc$ propor;n,y = fiscal p]iods ( less ?an #ab mon?s4 #ie ,*apt] #c c#ah ,h["e1 if y repay ! loan 2f ! 5d (! five-ye> p]iod1 y c deduct ! rema9+ f9anc+ fees !n4 ,! numb] ( ye>s = : y c deduct ^! fees is n relat$ 6! t]m ( yr loan4 ,fees deducti# 9 ! ye> 9curr$ ,if y 9cur /&by *>ges1 gu>antee fees1 s]vice fees1 or any o!r simil> fees1 y may 2 a# 6deduct !m 9 full 9 ! ye> y 9cur !m4 ,6d s1 !y h 6relate only 6t ye>4 ,= m 9=m,n1 see ,9t]pret,n ,bullet9 ,,it-#cda1 ,exp5ses ( ,issu+ or ,sell+ ,%>es1 ,units 9 a ,tru/1 ,9t]e/s 9 a ,"pn]%ip or ,syndicate1 & ,exp5ses ( ,borr[+ ,m"oy4 ,9t]e/ deducti# on prop]ty no l;g] us$ = busi;s purposes ,y may 2 a# 6deduct 9t]e/ exp5ses =a prop]ty t y us$ = busi;s purposes1 ev5 if y h /opp$ us+ ! prop]ty = s* #if ,*apt] #c d#ah purposes 2c y >e no l;g] 9 busi;s4 ,= m 9=m,n1 see ,9=m,n ,bullet9 ,,it #ecc1 ,9t]e/ ,deductibil;y & ,relat$ ,issues4 ,9t]e/ on loans made ag/ 9sur.e policies ,y c deduct 9t]e/ y pd on a loan made ag/ an 9sur.e policy1 z l;g z ! 9sur] did n add ! 9t]e/ y pd 6! adju/$ co/ base (! 9sur.e policy4 ,6claim ! 9t]e/ y pd = #bjji1 h ! 9sur] v]ify ! 9t]e/ 2f ,june #af1 #bjaj1 on ,=m ,t#bbaj1 ,v]ific,n ( ,policy ,loan ,9t]e/ 0! ,9sur]4 ,capitaliz+ 9t]e/ ,y c *oose 6capitalize 9t]e/ on m"oy y borr[3 --6buy deprecia# prop]ty2 --6buy a res\rce prop]ty2 or --= explor,n & develop;t4 #ig ,*apt] #c e#ah ,:5 y *oose 6capitalize 9t]e/1 add ! 9t]e/ 6! co/ (! prop]ty or explor,n & develop;t co/s 9/1d ( deduct+ ! 9t]e/ z an exp5se4 ,9t]e/ relat$ 6"w space 9 yr home ,! 9t]e/ relat$ 6busi;s use ( "w space 9 yr home has 6be claim$ on l9e #iide1 8,busi;s-use-(-home exp5ses40 ,= m 9=m,n1 r1d page #bg4 ,l9e #hgfj--,busi;s tax1 fees1 lic;es1 dues1 memb]%ips1 & subscrip;ns ,y c deduct all annual lic;e fees & busi;s taxes y 9cur 6run yr busi;s4 ,y c al deduct annual dues or fees 6keep yr memb]%ip 9 a trade or -m]cial associ,n4 ,y _c deduct club memb]%ip dues 79clud+ #ih ,*apt] #c f#ah 9iti,n fees7 if ! ma9 purpose (! club is d9+1 recre,n1 or sport+ activities4 ,l9e #hhaj--,(fice exp5ses ,y c deduct ! co/ ( (fice exp5ses4 ,^! 9clude small items s* z p5s1 p5cils1 pap] clips1 /,n]y1 & /amps4 ,(fice exp5ses d n 9clude items s* z calculators1 fil+ cab9ets1 *airs1 & desks4 ,^! >e capital items4 ,= m 9=m,n on capital prop]ty1 r1d ,*apt] #d 2g9n+ on page #bi4 -------------------------------------#ai ,l9e #hhaa--,supplies ,y c deduct ! co/ ( items us$ 9directly 0! busi;s 6provide gds or s]vices 7= example1 drugs & m$ic,n us$ 0a vet]9>ian1 or cl1n+ supplies us$ 0a plumb]74 #ii ,l9e #hhfj--,legal1 a3.t+1 a#ai & o!r profes.nal fees ,deduct ! fees y 9curr$ = ext]nal profes.nal advice or s]vices1 9clud+ 3sult+ fees4 ,y c deduct a3.t+ & legal fees y 9cur 6get advice & help 9 keep+ yr records4 ,y c al deduct fees y 9cur = prep>+ & fil+ yr 9come tax & ,,gst/,,hst returns4 ,y c deduct a3.t+ or legal fees y pd 6h an objec;n or app1l prep>$ ag/ an assess;t = 9come tax1 ,canada ,p5.n ,plan or ,quebec ,p5.n ,plan 3tribu;ns1 or ,employ;t ,9sur.e premiums4 ,h["e1 ! full am.t ( ^! deducti# fees m/ f/ 2 reduc$ 0any reimburse;t ( ^! fees t y h rcvd4 ,report ! di6];e on l9e #bcb ( yr 9come tax return4 ,if y rcvd a reimburse;t 9 #bjji =! types ( fees t y deduct$ 9 a previ\s ye>1 report ! am.t y rcvd on l9e #acj ( yr #bjji 9come tax return4 ,y _c deduct legal & o!r fees y 9cur 6buy a capital prop]ty4 ,9/1d1 #ajj ,*apt] #c b#ai add ^! fees 6! co/ (! prop]ty4 ,= m 9=m,n on capital prop]ty1 r1d ,*apt] #d 2g9n+ on page #bi4 ,= m details1 see ,9t]pret,n ,bullet9 ,,it-#ii1 ,legal & ,a3.t+ ,fees4 ,l9e #hhga--,manage;t & adm9i/r,n fees ,y c deduct manage;t & adm9i/r,n fees 9clud+ bank *>ges 9curr$ 6op]ate yr busi;s4 ,d n 9clude on ? l9e employees' sal>ies1 prop]ty taxes1 or r5ts pd4 ,y c claim ^! am.ts else": on ,=m ,t#babe4 ,l9e #hiaj--,r5t ,y c deduct r5t 9curr$ = prop]ty us$ 9 yr busi;s4 ,= example1 y c deduct r5t =! l& & build+ ": yr busi;s is situat$4 ,! r5t exp5se relat$ 6! busi;s use ( "w space 9 yr home has 6be claim$ on l9e #iide1 8,busi;s-use-(-home exp5ses40 ,= m 9=m,n1 r1d page #bg4 #aja ,l9e #hifj--,ma9t5.e & c#ai repairs ,y c deduct ! co/ ( lab\r & mat]ials = any m9or repairs or ma9t5.e d"o 6prop]ty y use 6e>n 9come4 ,h["e1 y _c deduct ! value ( yr [n lab\r4 ,y _c deduct co/s y 9cur = repairs t >e capital 9 nature4 ,h["e1 y may 2 a# 6claim ,,cca4 ,= m 9=m,n ab ,,cca1 r1d ,*apt] #d 2g9n+ on page #bi4 ,! ma9t5.e & repairs relat$ 6busi;s use ( "w space 9 yr home h 6be claim$ on l9e #iide1 8,busi;s-use-(-home exp5ses40 ,= m 9=m,n1 r1d page #bg4 ,l9e #ijfj--,sal>ies1 wages1 & b5efits ,y c deduct gross sal>ies & o!r b5efits y pay 6employees4 ,d n 9clude on ? l9e sal>ies & wages describ$ 9 8,l9e #hcdj--,direct wage co/s0 or 8,l9e #hcfj --,subcontracts0 on page #ad or sal>ies & draw+s (! [n]7s7 (! busi;s #ajb ,*apt] #c d#ai describ$ 9 8,l9e #iicb--,draw+s 9 #bjji0 on page #bi4 ,sal>ies or draw+s pd or paya# 6y or yr "pn]s >e n deducti#4 ,= m 9=m,n1 r1d 8,details ( equ;y 7page #c ( ,=m ,t#babe70 on page #bh4 ,! ,canada ,p5.n ,plan 7,,cpp7 is = all "w]s1 9clud+ ! self-employ$4 ,employ]s1 employees1 & mo/ self-employ$ 9dividuals h 63tribute 6! ,,cpp fund4 ,! ,,cpp c provide basic b5efits :5 y retire or if y 2come 4a#d4 ,:5 y die1 ! ,,cpp c provide b5efits 6yr surviv+ sp\se or -mon-law "pn] & dep5d5t *n "u ! age ( #be4 ,= m 9=m,n on 3tribu;ns & b5efits1 visit ! ,s]vice ,canada ,web site at _+www.servicecanada.gc.ca_:4 ,quebec "w]s 9clud+ ! self-employ$ >e cov]$ "u ! ,quebec ,p5.n ,plan 7,,qpp74 ,z ! employ]1 y c deduct yr "p ( ,,cpp or ,,qpp 3tribu;ns1 ,employ;t ,9sur.e premiums1 ,prov9cial ,p>5tal ,9sur.e ,plan 7,,ppip7 premiums 7! ,,ppip is an 9come replace;t plan = resid5ts ( ,quebec--= details1 3tact ,rev5u #ajc ,*apt] #c e#ai ,qu@ebec71 & "w]s' -p5s,n am.ts paya# on employees' remun],n4 ,= 9=m,n on mak+ payroll deduc;ns1 g 6_+www.cra.gc.ca/payroll_:4 ,y c al deduct any 9sur.e premiums y pay = an employee =a sick;s1 an a3id5t1 a 4abil;y1 or an 9come 9sur.e plan4 ,y c deduct ! sal>y y pay 6yr *1 z l;g z y meet .all ^! 3di;ns3 --y pay ! sal>y2 --! "w yr * does is nec = e>n+ busi;s or profes.nal 9come2 & --! sal>y is r1sona# :5 y 3sid] yr *'s age1 &! am.t y pay is :at y wd pay "s"o else4 ,keep docu;ts 6support ! sal>y y pay yr *4 ,if y pay yr * 0*eque1 keep ! c.ell$ *eque4 ,if y pay ca%1 h ! * sign a receipt4 ,9/1d ( ca%1 y may pay yr * )a product f yr busi;s4 ,:5 y d ?1 claim ! value (! product z an exp5se & add 6yr gross sales an am.t equal 6! value (! product4 #ajd ,*apt] #c f#ai ,yr * has 69clude ! value (! product 9 8 or h] 9come4 ,y c al deduct ! sal>y y pay 6yr sp\se or -mon-law "pn]4 ,:5 y pay yr sp\se or -mon-law "pn] a sal>y1 use ! same rules t apply 6pay+ yr *4 -------------------------------------#bj ,report ! sal>ies y pay 6yr *n & sp\se or -mon-law "pn] on ,t#d slips1 ! same z y wd = o!r employees4 ,h["e1 y _c claim z an exp5se ! value ( bo>d & lodg+ y provide 6yr dep5d5t *n & sp\se or -mon- law "pn]4 ,l9e #iahj--,prop]ty taxes ,y c deduct prop]ty taxes y 9curr$ = prop]ty us$ 9 yr busi;s4 ,= example1 y c deduct prop]ty taxes =! l& & build+ ": yr busi;s is situat$4 ,! prop]ty tax relat$ 6! busi;s use ( "w space 9 yr home has 6be claim$ on l9e #iide1 8,busi;s-use-(-home exp5ses40 ,= m 9=m,n1 r1d page #bg4 #aje ,l9e #ibjj--,travel a#bj ,y c deduct travel exp5ses y 9cur 6e>n busi;s & profes.nal 9come4 ,travel exp5ses 9clude public transport,n f>es1 hotel a3ommod,n1 & m1ls4 ,9 mo/ cases1 ! #ej@3p limit applies 6! co/ ( m1ls1 b"eages1 & 5t]ta9;t :5 y travel4 ,we 4cuss ? limit 9 8,l9e #hebc --,m1ls & 5t]ta9;t0 on page #ag4 ,! #ej@3p limit al applies 6! co/ ( food & b"eages s]v$ & 5t]ta9;t 5joy$ :5 y travel on an airplane1 tra91 or bus :5 ! ticket price does n 9clude s* am.ts4 ,l9e #ibbj--,teleph"o & utilities ,y c deduct exp5ses = teleph"o & utilities1 s* z gas1 oil1 electric;y1 & wat]1 if y 9curr$ ! exp5ses 6e>n 9come4 ,! exp5ses = utilities t >e relat$ 6! busi;s use ( "w space 9 yr home h 6be #ajf ,*apt] #c b#bj claim$ on l9e #iide1 8,busi;s-use-(-home exp5ses40 ,= m 9=m,n1 r1d page #bg4 ,l9e #ibbd--,fuel co/s ,y c deduct ! co/ ( fuel 79clud+ gasol9e1 diesel1 & propane71 motor oil1 & lubricants us$ 9 yr busi;s4 ,= 9=m,n ab claim+ ! fuel us$ 9 yr motor vehicle1 r1d 8,l9e #ibha--,motor vehicle exp5ses10 on ? page4 ,! co/ ( fuel relat$ 6! busi;s use ( "w space 9 yr home has 6be claim$ on l9e #iide1 8,busi;s-use-(-home exp5ses40 ,= m 9=m,n1 r1d page #bg4 ,l9e #ibge--,deliv]y1 frei ( deliv]y1 frein busi;s 9come4 ,-plete 8,*>t ;,a--,motor vehicle exp5ses0 on page #e ( ,=m ,t#babe4 ,! *>t w help y calculate ! am.t ( motor vehicle exp5ses y c deduct4 ,if y >e a "pn] 9 a "pn]%ip & y 9cur p]sonal motor vehicle exp5ses =! busi;s1 claim ^? exp5ses on l9e #iidc1 8,o!r am.ts deducti# f yr %>e ( net "pn]%ip 9come 7loss710 9 ,"p #f on page #b (! =m4 ,= m 9=m,n1 r1d page #bg4 ,keep+ records ,y c deduct motor vehicle exp5ses only :5 !y >e r1sona# & y h receipts 6support !m4 ,6get ! full b5efit ( yr claim = ea* vehicle1 keep a record (! total kilometres y drive &! kilometres y drive 6e>n busi;s 9come4 ,= ea* busi;s trip1 li/ ! date1 de/9,n1 purpose1 & #ajh ,*apt] #c d#bj numb] ( kilometres y drive4 ,record ! odomet] r1d+ ( ea* vehicle at ! />t & 5d (! fiscal p]iod4 ,if y *ange motor vehicles dur+ ! fiscal p]iod1 record ! dates (! *anges &! odomet] r1d+s at ! "t y buy1 sell1 or trade ! vehicles4 ,:at type ( vehicle d y [n8 ,! k9d ( vehicle y [n c a6ect ! exp5ses y deduct4 ,= 9come tax purposes1 "! >e ?ree types ( vehicles3 --motor vehicles2 --automobiles2 & --pass5g] vehicles4 ,if y [n or l1se a pass5g] vehicle1 "! c 2 a limit on ! am.ts y c deduct = ,,cca1 9t]e/1 & l1s+ co/s4 ,we expla9 ! ,,cca limits on page #ce1 &! 9t]e/ limits &! l1s+ co/s on page #bb4 ,motor vehicle--,? is an automotive vehicle design$ or adapt$ = use #aji ,*apt] #c e#bj on hiily 6c>ry p on hily m>k$ police & fire em]g5cy response vehicles2 --a motor vehicle y b"\ 6use m ?an #ej@3p z a taxi1 a bus us$ 9 ! busi;s ( transport+ pass5g]s1 or a he>se us$ 9 a fun]al busi;s2 --a motor vehicle y b"\ 6sell1 r5t1 or l1se 9 a motor vehicle sales1 r5tal1 or l1s+ busi;s2 --a motor vehicle 7except a he>se7 y b"\ 6use 9 a fun]al busi;s 6transport pass5g]s2 --a van1 pick-up truck1 or simil> vehicle t s1ts no m ?an ! #aaj ,*apt] #c f#bj driv] & two pass5g]s & t1 9 ! tax ye> y b"\ or l1s$ x1 0 us$ m ?an #ej@3p 6transport gds & equip;t 6e>n 9come2 --a van1 pick-up truck1 or simil> vehicle t1 9 ! tax ye> y b"\ or l1s$ x1 0 us$ #ij@3p or m 6transport gds1 equip;t1 or pass5g]s 6e>n 9come2 -------------------------------------#ba --a pick-up truck t1 9 ! tax ye> y b"\ or l1s$ x1 0 us$ m ?an #ej@3p 6transport gds1 equip;t1 or pass5g]s :ile e>n+ or produc+ 9come at a remote "w loc,n or at a special "w site t is at l1/ #cj kilometres f ! ne>e/ -mun;y hav+ a popul,n ( at l1/ #dj1jjj p]sons2 & --a cle>ly m>k$ em]g5cy m$ical s]vice vehicle us$ 6c>ry p>am$ics & _! em]g5cy m$ical equip;t4 ,pass5g] vehicle--,? is an automobile y b"\ af ,june #ag1 #aihg4 ,a pass5g] vehicle is al an automobile t y #aaa ,*apt] #c a#ba l1s$ "u an agree;t y 5t]$ 9to1 ext5d$1 or renew$ af ,june #ag1 #aihg4 ,mo/ c>s1 /,n wagons1 vans1 & "s pick- up trucks >e pass5g] vehicles4 ,!y >e subject 6! limits = ,,cca1 9t]e/1 & l1s+4 ,6help y det]m9e :at type ( vehicle y h1 r1d ! *>t on page #bb4 ,! *>t does n cov] e situ,n1 b x gives "s (! ma9 def9i;ns 6help y det]m9e ! type ( vehicle y [n4 ,! *>t is =a vehicle y buy or l1se af ,june #ag1 #aihg1 & use 6e>n busi;s 9come4 ,deducti# exp5ses ,! types ( exp5ses y c claim on l9e #ibha 9clude3 --lic;e & regi/r,n fees2 --fuel co/s2 --9sur.e2 --9t]e/ on m"oy borr[$ 6buy a motor vehicle2 #aab ,*apt] #c b#ba --ma9t5.e & repairs2 & --l1s+ co/s4 ,y c al claim ,,cca1 b y 5t] ? am.t on l9e #iicf4 ,= 9=m,n ab ,,cca1 r1d ,*apt] #d 2g9n+ on page #bi4 ,busi;s use (a motor vehicle ,if y use a motor vehicle = busi;s & p]sonal use1 y c deduct only ! "p (! exp5ses t y pd 6e>n 9come4 ,h["e1 y c deduct ! full am.t ( p>k+ fees relat$ 6yr busi;s activities & supple;t>y busi;s 9sur.e = yr motor vehicle4 ,6support ! am.t y c deduct1 keep a record (! total kilometres y drive &! kilometres y drive 6e>n 9come4 ,example ,paul [ns a h>dw>e /ore t has a ,decemb] #ca ye>-5d4 ,he has a van t he uses =! busi;s4 ,paul not$ ! foll[+ = #bjji3 #aac ,*apt] #c c#ba ,kilometres driv5 6e>n busi;s 9come """"""""""""""" #bg1jjj ,total kilometres driv5 """""" #cj1jjj ,exp5ses3 ,lic;e & regi/r,n fees """"""" 4#ajj ,gas & oil """"""""""""""""" 4#b1djj ,9sur.e """""""""""""""""""" 4#a1ijj ,9t]e/ """"""""""""""""""""""" 4#hjj ,ma9t5.e & repairs """"""""""" 4#bjj ,total exp5ses =! van """""""" 4#e1djj ,paul calculates ! exp5ses he c deduct = 8 van = #bjji z foll[s3 #bg1jjj 7busi;s kilometres7 divid$ 0#cj1jjj 7total kilometres7 multipli$ 04#e1djj equals 4#d1hfj ,! deducti# .busi;s "p ( ,paul's van exp5ses is 4#d1hfj4 ,he al has busi;s p>k+ fees ( 4#dj &a supple;t>y busi;s 9sur.e co/ ( 4#ajj4 ,"!=e he c claim #aad ,*apt] #c d#ba 4#e1jjj on l9e #ibha 9 ,"p #e ( ,=m ,t#babe4 ,jo9t [n]%ip ,if y & ano!r p]son [n or l1se a pass5g] vehicle1 ! limits on ,,cca1 9t]e/1 & l1s+ / apply4 ,z a jo9t [n]1 ! total am.t y & any o!r [n]s deduct _c 2 m ?an ! am.t t "o p]son [n+ or l1s+ ! vehicle cd deduct4 ,m ?an "o vehicle ,if y use m ?an "o motor vehicle = yr busi;s1 = ea* vehicle keep a sep>ate record t %[s ! total & busi;s kilometres y drive1 &! co/ 6run & ma9ta9 ea* vehicle4 ,calculate ea* vehicle's exp5ses sep>ately4 ,= m 9=m,n1 see ,9t]pret,n ,bullet9 ,,it-#eba1 ,motor ,vehicle ,exp5ses ,claim$ 0,self-,employ$ ,9dividuals4 #aae ,vehicle def9i;ns #bb ,transcrib]'s note3 7,! foll[+ ta# is set up 9 f\r columns3 ,column #a3 ,type ( vehicle ,column #b3 ,s1t+ 79cludes driv]7 ,column #c3 ,busi;s use 9 ye> b"\ or l1s$ ,column #d3 ,vehicle def9i;n7 ,type ( vehicle3 ,c\pe1 s$an1 /,n wagon1 sports c>1 or luxury c> ,s1t+ 79cludes driv]73 #a 6#i ,busi;s use 9 ye> b"\ or l1s$3 #a@3p 6#ajj@3p ,vehicle def9i;n3 pass5g] ,type ( vehicle3 ,pickup truck us$ 6transport gds or equip;t ,s1t+ 79cludes driv]73 #a 6#c ,busi;s use 9 ye> b"\ or l1s$3 m ?an #ej@3p ,vehicle def9i;n3 motor #aaf ,*apt] #c a#bb ,type ( vehicle3 ,pickup truck 7o!r ?an abv7 99 ,s1t+ 79cludes driv]73 #a 6#c ,busi;s use 9 ye> b"\ or l1s$3 #a@3p 6#ajj@3p ,vehicle def9i;n3 pass5g] ,type ( vehicle3 ,pickup truck ) ext5d$ cab us$ 6transport gds1 equip;t1 or pass5g]s ,s1t+ 79cludes driv]73 #d 6#i ,busi;s use 9 ye> b"\ or l1s$3 #ij@3p or m ,vehicle def9i;n3 motor ,type ( vehicle3 ,pickup truck ) ext5d$ cab 7o!r ?an abv7 99 ,s1t+ 79cludes driv]73 #d 6#i ,busi;s use 9 ye> b"\ or l1s$3 #a@3p 6#ajj@3p ,vehicle def9i;n3 pass5g] #aag ,*apt] #c b#bb ,type ( vehicle3 ,sport util;y us$ 6transport gds1 equip;t1 or pass5g]s ,s1t+ 79cludes driv]73 #d 6#i ,busi;s use 9 ye> b"\ or l1s$3 #ij@3p or m ,vehicle def9i;n3 motor ,type ( vehicle3 ,sport util;y 7o!r ?an abv7 ,s1t+ 79cludes driv]73 #d 6#i ,busi;s use 9 ye> b"\ or l1s$3 #a@3p 6#ajj@3p ,vehicle def9i;n3 pass5g] ,type ( vehicle3 ,van or m9ivan us$ 6transport gds or equip;t ,s1t+ 79cludes driv]73 #a 6#c ,busi;s use 9 ye> b"\ or l1s$3 m ?an #ej@3p ,vehicle def9i;n3 motor #aah ,*apt] #c c#bb ,type ( vehicle3 ,van or m9ivan 7o!r ?an abv7 ,s1t+ 79cludes driv]73 #a 6#c ,busi;s use 9 ye> b"\ or l1s$3 #a@3p 6#ajj@3p ,vehicle def9i;n3 pass5g] ,type ( vehicle3 ,van or m9ivan us$ 6transport gds1 equip;t1 or pass5g]s ,s1t+ 79cludes driv]73 #d 6#i ,busi;s use 9 ye> b"\ or l1s$3 #ij@3p or m ,vehicle def9i;n3 motor ,type ( vehicle3 ,van or m9ivan 7o!r ?an abv7 ,s1t+ 79cludes driv]73 #d 6#i ,busi;s use 9 ye> b"\ or l1s$3 #a@3p 6#ajj@3p ,vehicle def9i;n3 pass5g] 99 ,a vehicle 9 ? category t is us$ m ?an #ej@3p 6transport gds1 equip;t1 or pass5g]s :ile e>n+ or produc+ #aai ,*apt] #c d#bb 9come at a remote "w loc,n or at a special "w site t is at l1/ #cj kilometres f ! ne>e/ -mun;y hav+ a popul,n ( #dj1jjj p]sons is 3sid]$ a .motor .vehicle4 ,9t]e/ ,y c deduct 9t]e/ on m"oy y borr[ 6buy a motor vehicle1 automobile1 or pass5g] vehicle y use 6e>n 9come4 ,9clude ! 9t]e/ z an exp5se :5 y calculate yr all[a# motor vehicle exp5ses4 ,:5 y use a pass5g] vehicle 6e>n 9come1 "! is a limit on ! am.t ( 9t]e/ y c deduct4 ,6calculate ! am.t ( 9t]e/ y c deduct1 -plete 8,*>t ;,b--,availa# 9t]e/ exp5se = pass5g] vehicles0 on page #e ( ,=m ,t#babe4 ,example ,on ,may #a1 #bjji1 ,julie b"\ a c> t %e uses 6e>n busi;s 9come4 ,julie's fiscal ye> 5ds on ,decemb] #ca4 #abj ,*apt] #c e#bb ,! c> is a pass5g] vehicle4 ,julie borr[$ m"oy 6buy h] c>1 &! 9t]e/ paya# 9 #bjji 0 4#a1ejj4 ,h] availa# 9t]e/ exp5se is .:i*"e .is .less3 --! total 9t]e/ paya# 9 #bjji 74#a1ejj72 or --4#aj multipli$ 0! numb] ( "ds 9 ! fiscal p]iod t 9t]e/ 0 paya# 74#aj multipli$ 0#bde "ds equals 4#b1dej74 ,julie c claim an 9t]e/ exp5se ( 4#a1ejj4 ,%e al record$ ! foll[+ 9=m,n = #bjji3 ,kilometres driv5 6e>n busi;s 9come """"""""""""""" #be1jjj ,total kilometres driv5 """""" #cj1jjj ,exp5ses3 ,gasol9e & oil """"""""""""" 4#a1ccj ,9t]e/ exp5se """""""""""""" 4#a1ejj #aba ,*apt] #c f#bb ,9sur.e """""""""""""""""""""" 4#gej ,lic;e & regi/r,n fees """""""" 4#gj ,repairs & ma9t5.e """"""""""" 4#ajj ,total c> exp5ses """""""""""" 4#c1gej ,julie calculates ! exp5ses %e c deduct = h] c> = #bjji z foll[s3 #be1jjj 7busi;s kilometres7 divid$ 0#cj1jjj 7total kilometres7 multipli$ 04#c1gej equals 4#c1abe ,l1s+ co/s =a ,pass5g] ,vehicle ,y c deduct am.ts y 9cur 6l1se a motor vehicle y use 6e>n 9come4 ,9clude ^! am.ts on l9e #ibha4 ,:5 y use a pass5g] vehicle 6e>n 9come1 "! is a limit on ! am.t (! l1s+ co/s y c deduct4 ,6calculate yr eligi# l1s+ co/s1 -plete 8,*>t ;,c--,eligi# l1s+ co/s = pass5g] vehicles0 on page #e ( ,=m ,t#babe4 #abb ,*apt] #c g#bb ,if ! l1se agree;t = yr pass5g] vehicle 9cludes items s* z 9sur.e1 ma9t5.e1 & taxes1 9clude !m z "p (! l1se *>ges on l9e #a ( ,*>t ;,c4 -------------------------------------#bc ,note ,g5],y1 l1ses 9clude taxes 7,,gst & ,,pst1 or ,,hst71 b n items s* z 9sur.e & ma9t5.e4 ,y h 6pay ^! am.ts sep>ately4 ,9clude ! taxes on l9e #a ( ,*>t ;,c1 & li/ ! items s* z 9sur.e & ma9t5.e on ! appropriate l9es ( 8,*>t ;,a--,motor vehicle exp5ses40 ,! ,,gst/,,hst rate t y %d use 6-plete 8,*>t ;,c--,eligi# l1s+ co/s = pass5g] vehicles0 on page #e ( ,=m ,t#babe is ! rate t 0 9 e6ect at ! />t ( ea* l1se 9t]val4 ,= yr #bjji fiscal p]iod1 use ! ,,gst rate ( #e@3p or ! ,,hst rate ( #ac@3p 6-plete ,*>t ;,c4 #abc ,*apt] #c a#bc ,6%[ y h[ 6calculate yr eligi# l1s+ co/s1 -plete ! foll[+ example us+ ,*>t ;,c on page #e ( ,=m ,t#babe4 ,example ,kim [ns a pet /ore4 ,h] busi;s has a ,july #ca fiscal ye>-5d4 ,on ,febru>y #a1 #bjji1 %e />t$ l1s+ a c> t is a pass5g] vehicle4 ,! ,,pst rate = h] prov9ce is #h@3p &! ,,gst rate is #e@3p4 ,kim 5t]$ ! foll[+ = #bjji3 ,mon?ly l1se pay;t """"""""""""" 4#ejj ,l1se pay;ts = #bjji """"""""" 4#c1jjj ,manufactur]'s su7e/$ li/ price """"""""""""""""""""" 4#cc1jjj ,numb] ( "ds 9 #bjji %e l1s$ ! c> """""""""""""""""""""""""" #aha ,,gst & ,,pst on 4#cj1jjj """" 4#c1ijj ,,gst & ,,pst on 4#ce1bid """" 4#d1ehh ,,gst & ,,pst on 4#hjj """"""""" 4#ajd #abd ,*apt] #c b#bc 7#a7 ,total l1se *>ges 9curr$ 9 ,kim's #bjji fiscal p]iod =! vehicle """" 4#c1jjj 7#b7 ,total l1se pay;ts deduct$ 9 h] fiscal p]iods 2f #bjji =! vehicle """""""""""" 4#j 7#c7 ,total numb] ( "ds ! vehicle 0 l1s$ 9 #bjji & previ\s fiscal p]iods """"""""" #aha 7#d7 ,manufactur]'s li/ price """"""""""""""""""""" 4#cc1jjj 7#e7 ,! am.t on l9e #d or 4#ci1hhb 7#ce1bid plus #d1ehh71 :i*"e is m1 .multipli$ .0#he@3p 74#ci1hhb multipli$ 0#he@3p7 """""""""""""""""" 4#cc1ijj 7#f7 74#ijd multipli$ 0#aha7 divid$ 0#cj """""""""""""""" 4#e1ded 7#g7 74#cc1ijj multipli$ 04#c1jjj7 divid$ 04#cc1ijj 4#c1jjj #abe ,*apt] #c c#bc ,kim's eligi# l1s+ co/ is ei l9e #f or l9e #g1 :i*"e am.t is less4 ,9 ? case1 h] all[a# claim is 4#c1jjj4 ,repay;ts & imput$ 9t]e/ ,:5 y l1se a pass5g] vehicle1 y may h a repay;t [+ 6y1 or y may h imput$ 9t]e/4 ,if ? is yr situ,n y w n 2 a# 6use 8,*>t ;,c--,eligi# l1s+ co/s = pass5g] vehicles0 on page #e ( ,=m ,t#babe4 ,imput$ 9t]e/ is 9t]e/ t wd 2 [+ 6y if 9t]e/ 7 pd on m"oy deposit$ 6l1se a pass5g] vehicle4 ,y calculate imput$ 9t]e/ = l1s+ co/s on a pass5g] vehicle only if .all ! foll[+ apply3 --"o or m deposits 7 made =! l1s$ pass5g] vehicle2 --! deposit is1 or ! deposits >e1 refunda#2 & --! total (! deposits is m ?an 4#a1jjj4 #abf ,*apt] #c d#bc ,= m 9=m,n1 see ,9t]pret,n ,bullet9 ,,it-#eba1 ,motor ,vehicle ,exp5ses ,claim$ 0,self-,employ$ ,9dividuals4 ,l9e #iice--,all[.e on eligi# capital prop]ty ,if y buy a prop]ty s* z gdwill or a fran*ise = yr busi;s1 y mie exp5ses y c 9cur 6e>n 9come1 o!r ?an ^? li/$ on ,=m ,t#babe4 #abg ,*apt] #c e#bc ,we cov] "s ( !m 9 ! foll[+ sec;ns4 ,5t] on ? l9e ! total ( o!r exp5ses y 9curr$ 6e>n 9come1 z l;g z y did n 9clude !m on a previ\s l9e4 ,y d n h 6li/ ^! exp5ses on ! =m4 ,4abil;y-relat$ modific,ns ,y c deduct \tlays & exp5ses y 9cur = eligi# 4abil;y-relat$ modific,ns made 6a build+ 9 ! ye> y pd !m1 9/1d ( hav+ 6add !m 6! capital co/ ( yr build+4 ,eligi# 4abil;y-relat$ modific,ns 9clude *anges y make 6a3ommodate :eel*airs1 s* z3 --9/all+ h&-activat$ p[] door op5]s2 --9/all+ 9t]ior & ext]ior ramps2 & --modify+ a ba?room1 elevator1 or doorway4 ,y c al deduct exp5ses pd 69/all or get ! foll[+ 4abil;y-relat$ devices & equip;t3 --elevator c>-posi;n 9dicators 7s* z brl panels & audio 9dicators72 --visual fire-al>m 9dicators2 #abh ,*apt] #c f#bc --teleph"o devices 6help p :o >e h>d ( he>+2 & --li/5+ devices = gr\p meet+s4 ,9 a4i;n1 y may 2 a# 6deduct exp5ses = 4abil;y specific -put] s(tw>e & h>dw>e atta*;ts4 ,-put] & o!r equip;t l1s+ co/s ,if y l1se -put]s1 cellul> teleph"os1 fax ma*9es1 & o!r equip;t1 y c deduct ! p]c5tage (! l1se co/s t r1sonably relates 6e>n+ yr busi;s 9come4 ,y c al deduct ! p]c5tage ( air"t exp5ses =a cellul> teleph"o t r1sonably relates 6e>n+ yr busi;s 9come4 ,if y buy a -put]1 cellul> teleph"o1 fax ma*9e1 or o!r s* equip;t1 y _c deduct ! co/4 ,y c -------------------------------------#bd deduct ,,cca & 9t]e/ y pd on m"oy y borr[$ 6buy ? equip;t t r1sonably relates 6e>n+ yr busi;s 9come4 ,= m #abi ,*apt] #c a#bd 9=m,n on ,,cca1 r1d ,*apt] #d 2g9n+ on page #bi4 ,l1s+ co/s ,deduct ! l1se pay;ts y 9curr$ 9 ! ye> = prop]ty us$ 9 yr busi;s4 ,if y l1se a pass5g] vehicle1 r1d 8,l9e #ibha--,motor vehicle exp5ses0 on page #bj4 ,if y 5t]$ 96a l1se agree;t af ,april #bf1 #aihi1 y c *oose 6tr1t yr l1se pay;ts z -b9$ pay;ts ( pr9cipal & 9t]e/4 ,h["e1 y &! p]son y >e l1s+ f h 6agree 6tr1t ! pay;ts ? way4 ,9 ? case1 we 3sid] t y3 --b"\ ! prop]ty r ?an l1s$ x2 & --borr[$ an am.t equal 6! fair m>ket value 7,,fmv7 (! l1s$ prop]ty4 ,y c deduct ! 9t]e/ "p (! pay;t z an exp5se4 ,y c al claim ,,cca on ! prop]ty4 ,y c make ? *oice z l;g z ! prop]ty qualifies &! total ,,fmv ( all ! prop]ty subject 6! l1se is m ?an #acj ,*apt] #c b#bd 4#be1jjj4 ,di7+ equip;t t y l1se ) an ,,fmv ( 4#ce1jjj is an example ( prop]ty t qualifies4 ,h["e1 (fice furniture & automobiles (t5 d n qualify4 ,6tr1t yr l1se ? way1 file "o ( ^! =ms ) yr 9come tax return =! ye> y make ! l1se agree;t3 --,=m ,t#bade1 ,elec;n 9 ,respect (! ,l1s+ ( ,prop]ty2 or --,=m ,t#badf1 ,elec;n 9 ,respect ( ,assign$ ,l1ses or ,subl1s$ ,prop]ty4 ,3v5;n exp5ses ,y c deduct ! co/ ( go+ 6a maximum ( two 3v5;ns a ye>4 ,! 3v5;ns h to3 --relate 6yr busi;s or profes.nal activ;y2 & --be held 0a busi;s or profes.nal organiz,n )9 ! geographical >ea ": ! organiz,n norm,y 3ducts xs busi;s4 #aca ,*apt] #c c#bd ,? second limit may n apply if an organiz,n f ano!r c.try sponsors ! 3v5;n &! 3v5;n relates 6yr busi;s or profes.nal activ;y4 ,"s"ts1 3v5;n fees 9clude ! co/ ( food1 b"eages1 or 5t]ta9;t4 ,h["e1 ! 3v5;n organiz] may n %[ ^! am.ts sep>ately on yr bill4 ,if ? is ! case1 subtract 4#ej f ! total 3v5;n fee = ea* "d ! organiz] provides food1 b"eages1 or 5t]ta9;t4 ,y c deduct ? daily 4#ej am.t z a m1l & 5t]ta9;t exp5se4 ,h["e1 ! #ej@3p limit applies 6! daily 4#ej am.t4 ,we 4cuss ! #ej@3p limit on 8,l9e #hebc--,m1ls & 5t]ta9;t10 on page #ag4 ,example ,ca?y att5d$ a two-"d 3v5;n 9 ,may #bjji t co/ h] 4#fjj4 ,! organiz] did n 9dicate :at "p (! 4#fjj fee 0 = food & 5t]ta9;t4 ,h] 3v5;n exp5se is 4#ejj ,74#fjj m9us 74#ej multipli$ 0#b77'4 #acb ,*apt] #c d#bd ,ca?y cd al claim a m1l & 5t]ta9;t exp5se ( 4#ej 74#ej multipli$ 0#b multipli$ 0#ej@3p74 ,food1 b"eages1 or 5t]ta9;t at a 3v5;n d n 9clude 9cid5tal items s* z c(fee & d\y ( ,res]ves on ,4posi;ns ( ,capital ,prop]ty2 & --,guide ,t#djaa1 ,prep>+ ,returns = ,dec1s$ ,p]sons4 ,private h1l? s]vices plan 7,,phsp7 premiums ,y c deduct premiums pd or paya# 6a private h1l? s]vices plan 7,,phsp7 if y meet ! foll[+ 3di;ns3 --yr ..net 9come f .self-employ;t 7exclud+ losses & ,,phsp deduc;ns7 =! curr5t or previ\s ye> is m ?an #ej@3p ( yr .total .9come2 99 or --yr ..9come f s\rces o!r ?an .self- employ;t 9999 is 4#aj1jjj or less =! curr5t or previ\s ye>2 --y >e actively 5gag$ 9 yr busi;s on a regul> & 3t9u\s basis1 9dividu,y or z a "pn]2 & #acd ,*apt] #c f#bd --! premiums >e pd or paya# 69sure yrf1 yr sp\se or -mon-law "pn]1 or any memb] ( yr h\sehold4 99 ,=! purpose ( ? claim1 calculate yr total 9come z foll[s3 --! am.t f l9e #aej ( yr #bjjh or #bjji 9come tax return1 :i*"e applies1 2f y deduct any am.ts = ,,phsp's2 .m9us --! am.ts y 5t]$ on l9es #bjg1 #bab1 #bag1 #bba1 #bbi1 #bca1 & #bcb on yr #bjjh or #bjji 9come tax return1 :i*"e applies4 -------------------------------------#be 9999,=! purpose ( ? claim1 calculate yr ..9come f s\rces o!r ?an .self- employ;t z foll[s3 --! am.t f l9e #aej ( yr #bjjh or #bjji 9come tax return1 :i*"e applies1 2f y deduct any am.ts = ,,phsp's2 .m9us --! am.ts y 5t]$ on l9es #ace1 #acg1 #aci1 #ada1 #adc 7exclud+ busi;s losses : reduc$ ! net am.t #ace ,*apt] #c a#be report$ on ^? l9es71 #bjg1 #bab1 #bag1 #bba1 #bbi1 #bca1 & #bcb on yr #bjjh or #bjji 9come tax return1 :i*"e applies4 ,y _c claim a deduc;n = ,,phsp premiums if ano!r p]son deduct$ ! am.t1 or if y or any"o else claim$ ! premiums z a m$ical exp5se4 ,= yr premiums 6be deducti#1 yr ,,phsp cov]age has 6be pd or paya# "u a 3tract ) "o (! foll[+3 --an 9sur.e -pany2 --a tru/ -pany2 --a p]son or "pn]%ip 9 ! busi;s ( adm9i/]+ ,,phsp's2 --a tax-exempt trade union ( : y or ! major;y ( yr employees >e memb]s2 or --a tax-exempt busi;s organiz,n or tax-exempt profes.nal organiz,n ( : y >e a memb]4 ,= m 9=m,n on ,,phsp's1 see ,9t]pret,n ,bullet9 ,,it-#cci1 ,m1n+ ( 8,private ,h1l? ,s]vices ,plan40 #acf ,def9i;ns b#be ,=! purposes ( ? claim1 ! foll[+ def9i;ns apply3 --.,>m's .l5g? .employees >e1 g5],y1 employees :o >e n relat$ 6y & n c>ry+ on yr busi;s ) y1 = example1 z yr "pn]s4 ,r1d ! def9i;n ( 8,non- >m's l5g? transac;n0 on page #bi4 --.,qualifi$ .employees >e >m's l5g?1 full-"t employees :o h ?ree mon?s s]vice s9ce !y la/ 2came employ$ )a busi;s c>ri$ on 0y1 a busi;s 9 : y >e a major;y 9t]e/ "pn]1 or a busi;s c>ri$ on 0a corpor,n a6iliat$ ) y4 ,tempor>y or s1sonal "w]s >e n qualifi$ employees4 --.,9sura# .p]sons >e p 6:om cov]age is ext5d$ & :o >e ei3 --qualifi$ employees2 --p :o wd 2 qualifi$ employees if !y _h "w$ = y = ?ree mon?s2 or --p c>ry+ on yr busi;s 79clud+ yrf & yr "pn]s74 #acg ,h[ 6calculate yr maximum c#be deduc;n = ,,phsp's ,! foll[+ sec;ns expla9 h[ 6calculate yr maximum ,,phsp deduc;n bas$ on :e!r y _h employees & :e!r y 9sur$ !m "?\t ! ye> or "p (! ye>4 ,f9d ! sec;n t describes yr situ,n4 ,if y did n h any employees "?\t #bjji ,yr ,,phsp deduc;n is re/rict$ 0a doll> limit on an annual basis4 ,! limit is a maximum (3 --4#a1ejj = yrf2 --4#a1ejj = ea* ( yr sp\se or -mon- law "pn] & h\sehold memb]s t >e #ah ye>s ( age or old] at ! />t (! p]iod :5 !y 7 9sur$2 & --4#gej = ea* h\sehold memb] "u ! age ( #ah at ! />t (! p]iod4 ,! maximum deduc;n is al limit$ 0! numb] ( "ds ! p]son 0 9sur$4 ,calculate #ach ,*apt] #c d#be yr all[a# maximum =! ye> 0us+ ! foll[+ =mula3 ;,a divid$ 0#cfe multipli$ by 7;,b plus ;,c71 ":3 ;,a is ! numb] ( "ds dur+ ! p]iod (! ye> :5 y 9sur$ yrf & h\sehold memb]s1 if applica#1 b 9sur$ less ?an #ej@3p ( yr employees2 ;,b equals 4#a1ejj multipli$ 0! numb] ( p cov]$ "u ! plan t 9cludes y1 yr sp\se or -mon-law "pn]1 & h\sehold memb]s t >e #ah ye>s ( age or old]2 & ;,c equals 4#gej multipli$ 0! numb] ( h\sehold memb]s "u ! age ( #ah t 7 9sur$ dur+ ! p]iod4 ,example #a ,$w9 0 a sole proprietor :o ran 8 busi;s al"o 9 #bjji4 ,he _h no employees & did n 9sure any ( 8 h\sehold memb]s4 ,$w9 pd #aci ,*apt] #c e#be 4#b1jjj = ,,phsp cov]age 9 #bjji4 ,9 8 case1 ! cov]age la/$ f ,july #a 6,decemb] #ca1 #bjji1 a total ( #ahd "ds4 ,$w9's maximum all[a# ,,phsp deduc;n is calculat$ z foll[s3 #ahd divid$ 0#cfe multipli$ 04#a1ejj equals 4#gef ,ev5 ?\< ,$w9 pd 4#b1jjj 9 premiums 9 #bjji1 he c only deduct 4#gef 2c ! annual limit is 4#a1ejj & he 0 only 9sur$ = ab half (! ye>4 ,if he _h be5 9sur$ =! 5tire ye>1 8 deduc;n limit wd h be5 4#a1ejj4 ,example #b ,tony 0 a sole proprietor :o ran 8 busi;s al"o 9 #bjji4 ,he _h no employees4 ,f ,janu>y #a 6,decemb] #ca1 he 9sur$ hmf1 8 wife1 & 8 two sons4 ,tony pd 4#a1hjj 69sure hmf1 4#a1hjj 69sure 8 wife1 & 4#a1jjj = ea* ( 8 sons4 ,"o ( 8 sons 0 #ae #adj ,*apt] #c f#be ye>s old &! o!r turn$ #ah on ,septemb] #a4 ,tony's ,,phsp deduc;n is limit$ 6! foll[+ am.ts3 --= hmf--4#a1ejj2 --= 8 wife--4#a1ejj2 --= 8 #ae-ye>-old son--4#gej2 & --=! son :o turn$ #ah--4#gej4 ,! 4#gej limit applies 2c he did n turn #ah until af ! 9sur$ p]iod />t$4 -------------------------------------#bf ,if y _h employees "?\t #bjji ,if y _h at l1/ "o .qualifi$ .employee "?\t all ( #bjji1 & at l1/ #ej@3p (! .9sura# .p]sons 7r1d ! def9i;ns on page #be7 9 yr busi;s 7 qualifi$ employees1 yr claim = ,,phsp premiums is limit$ 9 a di6]5t way4 ,yr limit is bas$ on ! l[e/ co/ ( equival5t cov]age = ea* ( yr qualifi$ employees4 ,use ! foll[+ /eps 6calculate yr maximum all[a# claim =! ,,phsp premiums #ada ,*apt] #c a#bf pd or paya# = yrf1 yr sp\se or -mon-law "pn]1 & yr h\sehold memb]s4 ,= ea* ( yr qualifi$ employees1 d ! foll[+ calcul,n3 ;,x multipli$ 0;,y equals ;,z1 ":3 ;,x equals ! am.t y wd pay 6provide yrf1 yr sp\se or -mon-law "pn]1 & yr h\sehold memb]s ) cov]age equival5t 6t provid$ 6a "picul> employee & 8 or h] sp\se or -mon-law "pn] & h\sehold memb]s2 ;,y equals ! p]c5tage (! premium y pay = t "picul> employee2 & ;,z equals yr limit bas$ on t "picul> employee4 ,if y _h m ?an "o qualifi$ employee1 y h 6d ! ;,x multipli$ 0;,y equals ;,z calcul,n = ea* employee4 ,yr limit is !n ! l1/ (! am.ts y calculate = ea* employee4 #adb ,*apt] #c b#bf ,example #a ,y h "o qualifi$ employee4 ,6provide yrf ) cov]age equival5t 6his1 y pay a premium ( 4#a1hjj4 ,y pay #fj@3p ( yr employee's premium4 ,yr deduc;n limit = yrf is 4#a1jhj1 calculat$ z foll[s3 4#a1hjj 7am.t ;,x7 multipli$ 0#fj@3p 7am.t ;,y7 equals 4#a1jhj 7am.t ;,z74 ,! maximum y c claim is 4#a1jhj if y _h only "o qualifi$ employee4 ,example #b ,y h ?ree qualifi$ employees1 ,jack1 ,jill & ,sue4 ,! foll[+ ta# %[s h[ m* y wd pay = cov]age equival5t 6ea* ( _!s &! p]c5tage ( ea* employee's premium t y pay4 #adc ,*apt] #c c#bf ,transcrib]'s note3 7,! foll[+ is set up 9 ?ree columns3 ,column #a3 ,"n ( employee ,column #b3 ,co/ ( equival5t cov]age = yrf 7,x7 ,column #c3 ,p]c5tage (! employee's premium y pay 7,y77 ,"n3 ,jack ,co/3 4#a1ejj ,p]c5tage3 #bj@3p ,"n3 ,jill ,co/3 4#a1hjj ,p]c5tage3 #ej@3p ,"n3 ,sue ,co/3 4#a1djj ,p]c5tage3 #dj@3p ,y h 6d ?ree calcul,ns1 ;,x multipli$ 0;,y equals ;,z3 #add ,*apt] #c d#bf ,= ,jack3 4#a1ejj multipli$ 0#bj@3p equals 4#cjj ,= ,jill3 4#a1hjj multipli$ 0#ej@3p equals 4#ijj ,= ,sue3 4#a1djj multipli$ 0#dj@3p equals 4#efj ,yr limit is 4#cjj1 ! l1/ (! am.ts calculat$ =! ?ree employees4 ,note ,if y h a qualifi$ employee ) no cov]age1 y _c claim yr ,,phsp premiums z a deduc;n f self-employ;t 9come4 ,h["e1 y may 2 a# 6claim !m z m$ical exp5ses4 ,if y _h employees "?\t #bjji1 b ! numb] ( .>m's .l5g? .employees 7r1d ! def9i;n on page #be7 y 9sur$ 0 less ?an #ej@3p ( all ! 9sura# p]sons 9 yr busi;s1 yr maximum all[a# deduc;n is ! .less] (! foll[+ two am.ts3 #ade ,*apt] #c e#bf ,am.t #a ,det]m9e ? am.t 0us+ ! foll[+ =mula3 ;,a divid$ 0#cfe multipli$ by 7;,b plus ;,c71 ":3 ;,a is ! numb] ( "ds dur+ ! p]iod (! ye> :5 y 9sur$ yrf & h\sehold memb]s1 if applica#1 b 9sur$ less ?an #ej@3p ( yr employees2 ;,b equals 4#a1ejj multipli$ 0! numb] ( p cov]$ "u ! plan t 9cludes y1 yr sp\se or -mon-law "pn] & h\sehold memb]s t >e #ah ye>s ( age or old]2 & ;,c equals 4#gej multipli$ 0! numb] ( h\sehold memb]s "u ! age ( #ah t 7 9sur$ dur+ ! p]iod4 ,am.t #b ,if y _h at l1/ "o .qualifi$ .employee1 am.t #b is ! l[e/ co/ ( equival5t cov]age = ea* qualifi$ employee1 calculat$ 0us+ ! ;,x #adf ,*apt] #c f#bf multipli$ 0;,y equals ;,z =mula on ? page4 ,if y did n h at l1/ "o qualifi$ employee1 ! limit 9 am.t #a w apply4 ,if y _h employees = "p (! ye> ,=! "p (! ye> :5 y _h at l1/ "o qualifi$ employee & yr 9sura# >m's l5g? employees repres5t$ at l1/ #ej@3p ( all ! 9sura# p]sons 9 yr busi;s1 calculate yr limit .= .t .p]iod 0us+ ! ;,x multipli$ 0;,y equals ;,z =mula 9 ! previ\s sec;n1 8,if y _h employees "?\t #bjji40 ,=! re/ (! ye> :5 y _h no employees or :5 yr 9sura# >m's l5g? employees repres5t$ less ?an #ej@3p ( all (! 9sura# p]sons 9 yr busi;s1 yr deduc;n limit ..= t rema9+ .p]iod is ! .less] .( ,am.t #a & ,am.t #b1 calculat$ 9 ! same way z 9 ! previ\s sec;n4 #adg ,undeduct$ premiums #bg ,if y deduct only a "p ( yr ,,phsp premium on l9e #ibgj1 & y pd ! premium 9 ! ye>1 y c 9clude ! undeduct$ bal.e 9 ! calcul,n ( yr non-refunda# m$ical exp5se tax cr$it4 ,= details1 see l9e #ccj 9 yr ,g5]al ,9come ,tax & ,b5efit ,guide-- #bjji4 ,l9e #icfi--,net 9come 7loss7 2f adju/;ts ,5t] on ? l9e ! gross 9come m9us ! deducti# exp5ses4 ,if y >e a "pn] 9 a "pn]%ip1 ? am.t is ! net busi;s 9come ( all "pn]s4 ,"p #f--,yr net 9come 7loss7 ,on l9e ;,m ( ,=m ,t#babe1 %[ yr %>e (! am.t on l9e #icfi1 8,net 9come 7loss7 2f adju/;ts40 ,? is ! am.t left af y subtract ! am.ts ! o!r "pn]s >e #adh ,*apt] #c a#bg responsi# = report+ z specifi$ 9 ! "pn]%ip agree;t4 ,/>t \tl9e ,l9e #iigd--,,gst/,,hst rebate = "pn]s rcvd 9 ! ye> ,if y rcvd a ,,gst/,,hst rebate = "pn]s1 report ! am.t (! rebate t relates 6eligi# exp5ses o!r ?an ,,cca on l9e #iigd ( ,=m ,t#babe 9 ! ye> y rcv x4 ,5d \tl9e ,5t] ! total ( l9es ;,m & ;,n on l9e ;,o4 ,9 ! *>t1 8,details ( o!r "pn]s10 on page #c ( ,=m ,t#babe1 %[ ! full "ns & a4resses (! o!r "pn]s1 z well z a br1kd[n ( _! %>es (! net 9come or loss f l9e #icfi & _! p]c5tages ( [n]%ip %>es 9 ! "pn]%ip4 #adi ,l9e #iidc--,o!r am.ts b#bg deducti# f yr %>e ( net "pn]%ip 9come 7loss7 ,5t] ! total ( any extra exp5ses y 9curr$ 6e>n yr %>e (! "pn]%ip 9come 7loss71 s* z ! busi;s "p ( all[a# motor vehicle exp5ses4 ,^! exp5ses m/ n h be5 claim$ any": else on ! =m4 ,claim ^! am.ts only if ! "pn]%ip did n repay y = !m4 ,! limits 4cuss$ e>li] 9 ? *apt] al apply 6^! exp5ses4 ,-plete ! *>t 8,o!r am.ts deducti# f yr %>e ( net "pn]%ip 9come 7loss70 on page #c ( ,=m ,t#babe 6li/ ! o!r am.ts y c deduct f yr %>e (! "pn]%ip's net 9come or loss4 ,l9e #iide--,busi;s-use-(-home exp5ses ,y c deduct exp5ses =! busi;s use (a "w space 9 yr home1 z l;g z y meet ."o (! foll[+ 3di;ns3 #aej ,*apt] #c c#bg --x is yr pr9cipal place ( busi;s2 or --y use ! space only 6e>n yr busi;s 9come1 & y use x on a regul> & ongo+ basis 6meet yr cli5ts1 cu/om]s1 or pati5ts4 ,y c deduct a "p ( yr ma9t5.e co/s s* z h1t+1 home 9sur.e1 electric;y1 & cl1n+ mat]ials4 ,y c al deduct a "p ( yr prop]ty taxes1 mortgage 9t]e/1 & ,,cca4 ,6calculate ! "p y c deduct1 use a r1sona# basis s* z ! >ea (! "w space divid$ 0! total >ea ( yr home4 ,if y use "p ( yr home = bo? yr busi;s & p]sonal liv+1 calculate h[ _m h\rs 9 ! "d y use ! rooms = yr busi;s1 & !n divide t am.t 0#bd h\rs4 ,multiply ! result 0! busi;s "p ( yr total home exp5ses4 ,? w give y ! h\sehold co/ y c deduct4 ,if y run ! busi;s = only "p (! week or ye>1 reduce yr claim acly4 ,= m 9=m,n1 see ,9t]pret,n ,bullet9 ,,it-#ead1 ,"w ,space 9 ,home ,exp5ses4 #aea ,*apt] #c d#bg ,example ,monique runs a busi;s 9 h] home week"ds f #g3jj a4m4 6#e3jj p4m4 7#aj h\rs \ (a #bd-h\r "d74 ,! busi;s uses an >ea ( #ce squ>e metres4 ,! h\se is #ajj squ>e metres1 &! annual h\sehold exp5ses >e 4#e1hjj4 ,! calcul,n is z foll[s3 #aj ov] #bd .h\rs multipli$ 0#ce ov] #ajj .metres multipli$ 04#e1hjj .exp5ses equals 4#hde.hc ,! busi;s op]ates #e "ds a week1 s ,monique has 6d ano!r calcul,n3 4#hde.hc multipli$ 0#e ov] #g ."ds equals 4#fjd.af ,monique c deduct a total ( 4#fjd.af = h\sehold exp5ses4 #aeb ,*apt] #c e#bg ,! capital ga9 & recapture rules w apply if y deduct ,,cca on ! busi;s-use "p ( yr home & y lat] sell yr home4 ,= m 9=m,n ab ^! rules1 r1d ,*apt] #d 2g9n+ on page #bi4 ,if y r5t yr home1 y c deduct ! "p (! r5t & any exp5ses y 9cur t relate 6! "w space4 ,! am.t y c deduct = busi;s-use-(-home exp5ses _c 2 m ?an yr net 9come f ! busi;s 2f y deduct ^! exp5ses4 ,9 o!r ^ws1 y _c use ^! exp5ses 69cr1se or cr1te a busi;s loss4 ,y c deduct ! .less] .(! foll[+ am.ts3 --any am.t y c>ry =w>d f #bjjh1 plus ! busi;s-use-(-home exp5ses y 9cur 9 #bjji2 or --! am.t on l9e ;,q ( ,=m ,t#babe4 ,9 yr next fiscal p]iod1 y c use any exp5se y cd n deduct 9 #bjji1 z l;g z y meet "o (! two previ\s 3di;ns4 ,y al use ! same rules4 ,y c use ! *>t 8,calcul,n ( busi;s- use-(-home exp5ses0 on page #c ( #aec ,*apt] #c f#bg ,=m ,t#babe 6calculate yr all[a# claim = busi;s-use-(-home exp5ses4 ,5t] on l9e #iide yr %>e (! am.t on l9e #c 9 ! *>t4 ,! exp5ses y claim on l9e #iide m/ n 2 claim$ else": on ,=m ,t#babe4 -------------------------------------#bh ,6see h[ 6calculate yr busi;s-use-(- home exp5ses1 r1d ! foll[+ example3 ,example ,bill runs a bookkeep+ busi;s \ ( 8 home4 ,8 busi;s has a ,decemb] #ca fiscal ye>-5d4 ,bill record$ ! foll[+ = #bjji3 ,total h\se >ea 7squ>e metres7 """"""""""""""""""""""" #ahj ,>ea = busi;s use only 7squ>e metres7 """"""""""""""""" #ah ,>ea = p]sonal use 7squ>e metres7 """"""""""""""""""""""" #afb #aed ,*apt] #c a#bh ,net busi;s 9come 7loss7 af adju/;ts """"""""""""""""""" 4#g1ajj ,busi;s-use-(-home exp5ses c>ri$ =w>d f #bjjh """"""""""" 4#aej ,bill's home exp5ses = #bjji3 ,h1t """"""""""""""""""""""""" 4#a1bjj ,electric;y """""""""""""""""" 4#a1jjj ,9sur.e """""""""""""""""""""""" 4#fej ,ma9t5.e """"""""""""""""""""""" 4#cej ,mortgage 9t]e/ """""""""""""" 4#h1jjj ,prop]ty taxes """"""""""""""" 4#a1hjj ,wat] """""""""""""""""""""""""" 4#cjj ,bill -pletes ! *>t 8,calcul,n ( busi;s-use-(-home exp5ses0 on page #c ( ,=m ,t#babe z foll[s3 #aee ,calcul,n ( busi;s-use-(- b#bh home exp5ses ,h1t """"""""""""""""""""""""""" 4#a1bjj ,electric;y """""""""""""""""""" 4#a1jjj ,9sur.e """""""""""""""""""""""""" 4#fej ,ma9t5.e """"""""""""""""""""""""" 4#cej ,mortgage 9t]e/ """""""""""""""" 4#h1jjj ,prop]ty taxes """"""""""""""""" 4#a1hjj ,o!r exp5ses 7specify7 wat] """""" 4#cjj ,subtotal """"""""""""""""""""" 4#ac1cjj .,m9us3 ,p]sonal use "p #afb divid$ 0#ahj multipli$ 04#ac1cjj """"""""""""""""""" 4#aa1igj ,subtotal """""""""""""""""""""" 4#a1ccj ..,plus3 --,capital co/ all[.e 7busi;s "p only7 """"""""""""""""""""""" 4#j --,am.t c>ri$ =w>d f previ\s ye> """""""""""""""""""""""""" 4#aej 7#a7 ,subtotal """"""""""""""""" 4#a1dhj #aef ,*apt] #c c#bh 7#b7 .,m9us3 ,net 9come 7loss7 af adju/;ts 7f l9e ;,q 9 ,"p #f on page #b7 7if negative1 5t] 8#j07 """""""""""""""""""""""" 4#g1ajj ,busi;s-use-(-home exp5ses availa# 6c>ry =w>d 7l9e #a .m9us l9e #b7 7if negative1 5t] 8#j07 """""""""""""""""""""""""""" 4#j 7#c7 .,all[a# .claim 7! less] ( am.ts #a or #b abv7 75t] yr %>e ( ? am.t on l9e #iide 9 ,"p #f7 """"""""""""""""""""""""""""""" 4#a1dhj ,l9e #iidf--,yr net 9come 7loss7 ,on ! relevant l9es ( yr 9come tax return1 5t] yr total gross 7f l9e #hbii 9 ,"p #c on page #a7 & total net busi;s or profes.nal 9come or loss 7f l9e #iidf 9 ,"p #f on page #b74 ,9clude ! total 9come or losses f all yr busi;s & profes.nal activities 7! total ( ^! l9es f all -plet$ ,t#babe =ms74 #aeg ,*apt] #c d#bh ,if y h a busi;s or profes.nal loss t is m ?an all yr o!r s\rces ( 9come1 y may h a non-capital loss =! ye>4 ,6apply ? loss ag/ 9come f previ\s ye>s1 -plete & atta* a copy ( ,=m ,t#a;,a1 ,reque/ = ,loss ,c>ryback1 6yr 9come tax return4 ,= m details ab loss c>rybacks1 see ,9t]pret,n ,bullet9 ,,it-#bcb1 ,losses-- ,_! ,deductibil;y 9 ! ,loss ,ye> or 9 ,o!r ,ye>s4 ,details ( o!r "pn]s ,if y >e a "pn] 9 a "pn]%ip t does n h 6file a "pn]%ip 9=m,n return 7r1d page #i = ^! require;ts71 -plete ! *>t 8,details ( o!r "pn]s0 on page #c ( ,=m ,t#babe4 ,if y >e a "pn] 9 a "pn]%ip t .has 6file a "pn]%ip 9=m,n return1 d n -plete ? *>t4 #aeh ,details ( equ;y 7page #c e#bh ( ,=m ,t#babe7 ,if y >e a "pn] 9 a "pn]%ip t .has 6file a "pn]%ip 9=m,n return1 d n -plete ? sec;n4 ,l9e #iica--,total busi;s liabilities ,a liabil;y is a debt or oblig,n (a busi;s4 ,total busi;s liabilities >e ! total ( all am.ts yr busi;s or profes.nal activ;y [es at ! 5d ( xs fiscal p]iod4 ,total busi;s liabilities 9clude3 --a3.ts paya#2 --notes paya#2 --taxes paya#2 --unpd sal>ies1 wages1 & b5efits2 --9t]e/ paya#2 --def]r$ or une>n$ rev5ues2 --loans paya#2 --mortgages paya#2 & #aei ,*apt] #c #bi --any o!r \t/&+ bal.e relat$ 6! busi;s4 ,l9e #iicb--,draw+s 9 #bjji ,a draw+ is any )drawal ( ca% 79clud+ sal>ies71 o!r assets1 or s]vices (a busi;s 0! proprietor or "pn]s4 ,? 9cludes s* transac;ns 0! proprietor or "pn]s 7or family memb]s7 z )draw+ ca% = non-busi;s use1 & us+ busi;s assets or s]vices = p]sonal use4 ,9clude ! co/ or value ( p]sonal use ( busi;s assets or s]vices 9 yr draw+s =! ye>4 ,l9e #iicc--,capital 3tribu;ns 9 #bjji ,a capital 3tribu;n is ca% or o!r assets y a4$ 6! busi;s dur+ xs fiscal p]iod4 ,? 9cludes p]sonal funds y a4$ 6! busi;s a3.t1 busi;s debts y pd ) p]sonal funds1 & p]sonal assets y transf]r$ 6! busi;s4 #afj a#bi #afa b#bi #afb ,*apt] #d--,capital ,co/ c#bi ,all[.e 7,,cca7 ,:at is capital co/ all[.e8 ,y mi4 ,h["e1 s9ce ^! prop]ties we> \ or 2come obsolete ov] "t1 y c deduct _! co/ ov] a p]iod ( s"eal ye>s4 ,! deduc;n = ? is call$ capital co/ all[.e 7,,cca74 ,def9i;ns ,6calculate yr ,,cca claim1 y w ne$ 6"k ! m1n+ (! foll[+ t]ms3 ,availa# = use ,y c usu,y claim ,,cca on a prop]ty only :5 x 2comes availa# = use4 #afc ,*apt] #d d#bi ..,prop]ty o!r ?an a .build+ usu,y 2comes availa# = use on ! e>li] (3 --! date y f/ use x 6e>n 9come2 --! second tax ye> af ! ye> y acquire ! prop]ty2 --! "t j 2f y 4pose (! prop]ty2 or --! "t ! prop]ty is deliv]$ or made availa# 6y & is capa# ( produc+ a salea# product or s]vice4 ,a .build+ or .."p (a .build+ usu,y 2comes availa# = use on :i*"e is e>li]3 --! date y />t us+ #ij@3p or m (! build+ 9 yr busi;s2 --! second tax ye> af ! ye> y acquire ! build+2 or --! "t j 2f y 4pose (! build+4 ,a ..build+ t y >e 3/ruct+1 r5ovat+1 or .alt]+ usu,y 2comes availa# = use on :i*"e is e>li]3 --! date y -plete ! 3/ruc;n1 r5ov,n1 or alt],n2 --! date y />t us+ #ij@3p or m (! build+ 9 yr busi;s2 #afd ,*apt] #d e#bi --! second tax ye> af ! ye> y acquire ! build+2 or --! "t j 2f y 4pose (! build+4 ,capital co/ ,? is ! am.t on : y f/ claim ,,cca4 ,! capital co/ (a prop]ty is usu,y ! total (3 --! pur*ase price 7n 9clud+ ! co/ ( l&1 : is usu,y n deprecia#1 r1d 8,l&0 on page #ca72 --! "p ( yr legal1 a3.t+1 5g9e]+1 9/all,n1 & o!r fees t relates 6! buy+ or 3/ruc;n (! prop]ty 7n 9clud+ ! "p t applies 6l&72 --! co/ ( any a4i;ns or improve;ts y made 6! prop]ty af y acquir$ x1 if y did n claim ^! co/s z a curr5t exp5se 7s* z modific,ns 6a3ommodate p]sons ) 4abilities72 & --=a build+1 s(t co/s 7s* z 9t]e/1 legal & a3.t+ fees1 & #afe ,*apt] #d f#bi prop]ty taxes7 relat$ 6! p]iod y >e 3/ruct+1 r5ovat+1 or alt]+ ! build+1 if ^! exp5ses h n be5 deduct$ z curr5t exp5ses4 ,deprecia# prop]ty ,? is any prop]ty on : y c claim ,,cca4 ,y usu,y gr\p deprecia# prop]ties 96classes4 ,= example1 di7]s1 drills1 & tools acquir$ af ,may #a1 #bjjf1 t co/ 4#ejj or m 2l;g 6,class #h4 ,y h 6base yr ,,cca claim on a rate assign$ 6ea* class ( prop]ty4 ,fair m>ket value 7,,fmv7 ,,fmv is g5],y ! hi value t y c get = yr prop]ty 9 an op5 & unre/rict$ m>ket 2t an 9=m$ & will+ buy] & an 9=m$ & will+ sell] :o >e d1l+ at >m's l5g? ) ea* o!r4 #aff ,non->m's l5g? transac;n g#bi ,a non->m's l5g? transac;n 9cludes a transac;n 2t p :o >e relat$1 s* z memb]s (a family4 ,an example (a non->m's l5g? transac;n is ! sale ( prop]ty 2t a husb& & wife1 or a p>5t & *4 ,= m details on non->m's l5g? transac;ns1 see ,9t]pret,n ,bullet9 ,,it-#dai1 ,m1n+ ( ,>m's ,l5g?4 -------------------------------------#cj ,proce$s ( 4posi;n ,! proce$s ( 4posi;n usu,y m1n ! sell+ price (a prop]ty4 ,! proce$s ( 4posi;n >e ! am.ts y rcv1 or t we 3sid] y 6h rcvd1 :5 y 4pose ( yr prop]ty4 ,? cd 9clude -p5s,n y rcv = prop]ty t "s"o de/roys1 expropriates1 /1ls1 or damages4 ,special rules may apply if y 4pose (a build+ = less ?an bo? xs undepreciat$ capital co/ &= less ?an yr capital co/4 ,if ? is ! case1 r1d 8,special rules = 4pos+ (a build+ 9 ! ye>0 on page #ch = details4 #afg ,*apt] #d a#cj ,= m details ab proce$s ( 4posi;n1 see ,9t]pret,n ,bullet9 ,,it-#bbj1 ,capital ,co/ ,all[.e--,proce$s ( ,4posi;n ( ,deprecia# ,prop]ty1 & xs ,special ,rel1se1 & ,9t]pret,n ,bullet9 ,,it-#bhe1 ,capital ,co/ ,all[.e--,g5]al ,-;ts4 ,undepreciat$ capital co/ 7,,ucc7 ,g5],y1 ! ,,ucc is ! am.t left af y deduct ,,cca f ! capital co/ (a deprecia# prop]ty4 ,ea* ye>1 ! ,,cca y claim reduces ! ,,ucc (! prop]ty4 ,h[ m* ,,cca c y claim8 ,! ,,cca y c claim dep5ds on ! type ( prop]ty y [n &! date y acquir$ x4 ,y gr\p ! deprecia# prop]ty y [n 96classes4 ,a specific rate ( ,,cca g5],y applies 6ea* class4 #afh ,*apt] #d b#cj ,we expla9 ! mo/ -mon classes ( prop]ty 9 8,classes ( deprecia# prop]ty0 on page #cc4 ,we li/ mo/ (! classes & _! rates 9 ! *>t 8,,cca classes ( -monly us$ busi;s assets0 on page #de4 ,base yr ,,cca claim on yr fiscal p]iod 5d+ 9 #bjji1 & n ! cal5d> ye>4 ,"! >e a few o!r ?+s y %d "k ab ,,cca3 --,=! mo/ "p1 use ! decl9+ bal.e me?od 6calculate yr ,,cca4 ,? m1ns t y claim ,,cca on ! capital co/ 7r1d ! def9i;n on page #bi7 (! prop]ty m9us ! ,,cca y claim$ 9 previ\s ye>s1 if any4 ,! rema9+ bal.e decl9es ov] ! ye>s z y claim ,,cca4 ,example ,la/ ye> ,sue b"\ a build+ = 4#fj1jjj 6use 9 h] busi;s4 ,on h] 9come tax return = la/ ye>1 %e claim$ ,,cca ( 4#a1bjj on ! build+4 ,? ye>1 #afi ,*apt] #d c#cj ,sue bases h] ,,cca claim on h] bal.e ( 4#eh1hjj 74#fj1jjj m9us 4#a1bjj74 --,y d n h 6claim ! maximum am.t ( ,,cca 9 any giv5 ye>4 ,y c claim any am.t y l1 f z]o 6! maximum all[$ =! ye>4 ,= example1 if y d n h 6pay 9come tax =! ye>1 y may n want 6claim ,,cca4 ,claim+ ,,cca reduces ! bal.e (! class 0! am.t ( ,,cca claim$4 ,z a result1 ! ,,cca availa# = future ye>s w 2 reduc$4 --,in ! ye> y acquire a prop]ty y c usu,y claim ,,cca only on "o-half ( yr net a4i;ns 6a class4 ,we expla9 ? half-ye> rule 9 8,column #f-- ,adju/;t = curr5t-ye> a4i;ns0 on page #cc4 ,! availa#-=-use rules 4cuss$ previ\sly 9 ? *apt] may al a6ect ! am.t ( ,,cca y c claim4 ,= m 9=m,n1 r1d page #bi4 --,y _c claim ,,cca on mo/ l& or on liv+ ?+s s* z trees1 %rubs1 or animals4 ,h["e1 y c claim #agj ,*apt] #d d#cj ,,cca on timb] limits1 cutt+ "rs1 & wood assets4 ,= m details1 see ,9t]pret,n ,bullet9 ,,it-#dha1 ,timb] ,res\rce ,prop]ty & ,timb] ,limits1 & ,9t]pret,n ,bullet9 ,,it-#eja1 ,capital ,co/ ,all[.e-- ,lo7+ ,assets1 & xs ,special ,rel1se4 --,if y claim ,,cca & y lat] 4pose (! prop]ty1 y may h 6add an am.t 6yr 9come z a recapture ( ,,cca4 ,alt]natively1 y may 2 a# 6deduct an a4i;nal am.t f yr 9come z a t]m9al loss4 ,= m 9=m,n1 r1d 8,column #e-- ,,ucc af a4i;ns & 4posi;ns0 on page #cb4 --,if y rcv 9come f a qu>ry1 a s& or gravel pit1 or a woodlot1 y c claim a type ( all[.e "kn z a deple;n all[.e4 ,= m details1 see ,9t]pret,n ,bullet9 ,,it-#cgc1 ,woodlots1 & ,9t]pret,n ,bullet9 ,,it-#dib1 ,capital ,co/ ,all[.e--,9du/rial ,m9]al ,m9es4 #aga ,*apt] #d e#cj --,if y >e a "pn] 9 a "pn]%ip t gives y a ,t#ejac slip1 ,/ate;t ( ,"pn]%ip ,9come1 or a ,t#ejac;,a slip1 ,/ate;t ( ,"pn]%ip ,9come = ,tax ,%elt]s & ,ren\nc$ ,res\rce ,exp5ses1 y _c p]son,y claim ,,cca4 ,! ,t#ejac or ,t#ejac;,a slip y rcv w h alr allocat$ 6y a %>e (! "pn]%ip's ,,cca on ! prop]ty4 ,y 7 ask+ ''' ,"q ,h[ d ,i calculate my ,,cca claim if ,i />t a busi;s & my f/ fiscal p]iod is f ,june #a1 #bjji1 6,decemb] #ca1 #bjji8 ,answ] ,if yr fiscal p]iod is less ?an #cfe "ds1 y h 6prorate yr ,,cca claim4 ,calculate yr claim us+ ! rules we 4cuss 9 ? *apt]4 ,h["e1 base yr ,,cca claim on ! numb] ( "ds 9 yr fiscal p]iod -p>$ 6#cfe "ds4 #agb ,*apt] #d f#cj ,9 ? case1 yr fiscal p]iod is #bad "ds4 ,suppose y calculate yr ,,cca 6be 4#c1ejj4 ,! am.t ( ,,cca y c claim is 4#b1jeb 74#c1ejj multipli$ 0#bad ov] #cfe74 ,= m details1 see ,9t]pret,n ,bullet9 ,,it-#bhe1 ,capital ,co/ ,all[.e--,g5]al ,-;ts4 ,h[ d y make yr claim8 ,6calculate yr #bjji deduc;n = ,,cca1 & any recaptur$ ,,cca & t]m9al losses1 use ,>ea ,a on page #d ( yr ,=m ,t#babe4 ,= #bjji1 y c get 9=m,n 6help y -plete ,>ea ;,a f o!r >1s (! ,=m ,t#babe : y fil$ = #bjjh4 ,y may h acquir$ or 4pos$ ( build+s or equip;t dur+ ! fiscal p]iod4 ,if s1 -plete ! applica# >1s ;,b1 ;,c1 ;,d1 or ;,e 2f -plet+ ,>ea ;,a4 #agc ,*apt] #d #ca ,y w f9d explan,ns on h[ 6-plete ,>ea ;,b & ,>ea ;,c 9 8,column #c--,co/ ( a4i;ns 9 ! ye>0 on page #ca4 ,y w f9d explan,ns on h[ 6-plete ,>ea ;,d & ,>ea ;,e 9 8,column #d--,proce$s ( 4posi;ns 9 ! ye>0 on page #cb4 ,note ,ev5 if y >e n claim+ a deduc;n = ,,cca = #bjji1 -plete ! appropriate >1s (! =m 6%[ any a4i;ns & 4posi;ns dur+ ! ye>4 ,column #a--,class numb] ,5t] ! class numb]s ( yr prop]ties 9 ? column4 ,if ? is ! f/ ye> y >e claim+ ,,cca1 r1d 8,column #c--,co/ ( a4i;ns 9 ! ye>0 on ? page 2f -plet+ column #a4 ,if y claim$ ,,cca la/ ye>1 y c get ! class numb]s ( yr prop]ties f la/ ye>'s =m4 ,we 4cuss ! m -mon types ( deprecia# prop]ties 9 8,classes ( deprecia# #agd ,*apt] #d a#ca prop]ty0 on page #cc1 & we li/ mo/ (! classes & _! rates 9 ! *>t 8,,cca classes ( -monly us$ busi;s assets0 on page #de4 ,column #b--,undepreciat$ capital co/ 7,,ucc7 at ! />t (! ye> ,if ? is ! f/ ye> y >e claim+ ,,cca1 skip ? column4 ,o!rwise1 5t] 9 ? column ! ,,ucc = ea* class at ! 5d ( la/ ye>4 ,5t] ! am.ts f column #aj ( yr #bjjh =m4 ,f yr ,,ucc at ! />t ( #bjji1 subtract any 9ve/;t tax cr$it y claim$ or 7 refund$ 9 #bjjh4 ,al subtract any #bjjh 9ve/;t tax cr$it y c>ri$ back 6a ye> 2f #bjjh4 ,y may h rcvd 9 #bjjh a ,,gst/,,hst 9put tax cr$it =a pass5g] vehicle y us$ less ?an #ij@3p = yr busi;s4 ,9 ? case1 subtract ! am.t (! cr$it y rcvd f yr #bjji op5+ ,,ucc4 ,r1d 8,grants1 #age ,*apt] #d b#ca subsidies1 or o!r 9c5tives or 9duce;ts0 on page #cg4 ,note ,9 #bjji1 y may 2 claim+1 c>ry+ back1 or gett+ a refund ( an 9ve/;t tax cr$it4 ,if y / h deprecia# prop]ty 9 ! class1 y h 6adju/1 9 #bjaj1 ! ,,ucc (! class 6: ! prop]ty 2l;gs4 ,6d ?1 subtract ! am.t (! cr$it f ! ,,ucc at ! />t ( #bjaj4 ,:5 "! is no prop]ty left 9 ! class1 report ! am.t (! 9ve/;t tax cr$it z 9come 9 #bjaj4 ,column #c--,co/ ( a4i;ns 9 ! ye> ,if y acquire or make improve;ts 6deprecia# prop]ty 9 ! ye>1 we 3sid] !m 6be a4i;ns 6! class 9 : ! prop]ty 2l;gs4 ,y %d3 --complete ,>ea ;,b & ,>ea ;,c ( yr ,=m ,t#babe z expla9$ 2l2 & #agf ,*apt] #d c#ca --5t]1 9 column #c ( ,>ea ;,a = ea* class1 ! figure f column #e ( ea* class 9 ,>ea ;,b & ,>ea ;,c4 ,if a *>t asks =! p]sonal "p (a prop]ty1 ? ref]s 6! "p t y use p]son,y1 sep>ate f ! "p y use = busi;s4 ,= example1 if y use #be@3p (! build+ y live 9 = busi;s1 yr p]sonal "p is ! o!r #ge@3p4 ,d n 9clude ! value ( yr lab\r 9 ! co/ (a prop]ty y build or improve1 9clude ! co/ ( survey+ or valu+ a prop]ty y acquire4 ,rememb] t a prop]ty usu,y has 6be availa# = use 2f y c claim ,,cca4 ,r1d ! def9i;n ( .availa# .= .use on page #bi4 ,if y rcvd 9sur.e proce$s 6reimburse y =! loss or de/ruc;n ( deprecia# prop]ty1 5t] ! am.t y sp5t 6replace ! prop]ty 9 column #c ( ,>ea ,a1 & al 9 ,>ea ;,b or ,>ea ;,c1 :i*"e applies4 ,9clude ! am.t ( 9sur.e proce$s 3sid]$ z .proce$s .( .4posi;n 7r1d ! def9i;n on page #cj7 9 #agg ,*apt] #d d#ca column #d ( ,>ea ;,a1 & 9 ,>ea ;,d or ,>ea ;,e1 :i*"e applies4 ,if y replac$ a lo/ or de/roy$ prop]ty )9 a ye> (! loss1 special rules = replace;t prop]ty may apply 6y4 ,= m 9=m,n1 see ,9t]pret,n ,bullet9 ,,it-#bei1 ,ex*ange ( ,prop]ty1 & ,9t]pret,n ,bullet9 ,,it-#dia1 ,=m] ,busi;s ,prop]ty1 & xs ,special ,rel1se4 ,6f9d \ if any ( ^! special situ,ns apply1 r1d 8,special situ,ns0 on page #cf4 ,>ea ;,b--,details ( equip;t a4i;ns 9 ! ye> ,li/ ! details ( all equip;t 79clud+ motor vehicles7 y acquir$ or improv$ 9 #bjji4 ,gr\p ! equip;t 96! applica# classes1 & put ea* class on a sep>ate l9e4 ,equip;t 9cludes items y acquire 6use 9 yr busi;s or profes.nal activities 6e>n 9come or = ma9t5.e4 #agh ,*apt] #d e#ca ,examples >e a ce;t mix]1 a sn[ bl[]1 or a lawn m[]4 ,5t] on l9e #iibe ! total busi;s "p (! co/ (! equip;t4 ,y w f9d 9=m,n ab capital co/ on page #bi4 ,>ea ;,c--,details ( build+ a4i;ns 9 ! ye> ,li/ ! details ( all build+s y acquir$ or improv$ 9 #bjji4 ,gr\p ! build+s 96! applica# classes1 & put ea* class on a sep>ate l9e4 ,5t] on l9e #iibg ! total busi;s "p (! co/ (! build+s4 ,! co/ 9cludes ! pur*ase price (! build+1 plus any relat$ exp5ses t y %d add 6! capital co/ (! build+1 s* z legal fees1 l& transf] taxes1 & mortgage fees4 ,y w f9d 9=m,n ab capital co/ on page #bi4 #agi ,l& f#ca ,g5],y1 l& is n a deprecia# prop]ty4 ,"!=e1 y _c usu,y claim ,,cca on xs co/4 ,if y acquire a prop]ty t 9cludes bo? l& &a build+1 5t] 9 column #c ( ,>ea ;,c only ! co/ t relates 6! build+4 ,6calculate ! build+'s capital co/1 y h 6split any fees t relate 6buy+ ! prop]ty 2t ! l& &! build+4 ,relat$ fees may 9clude legal & a3.t+ fees4 -------------------------------------#cb ,calculate ! "p (! relat$ fees y c 9clude 9 ! capital co/ (! build+ z foll[s3 build+ value divid$ 0total pur*ase price multipli$ 0legal1 a3.t+1 or o!r fees equals ! "p (! fees y c 9clude 9 ! build+'s co/ ,y d n h 6split a fee if x relates specific,y 6! l& or ! build+4 ,9 ? case1 y wd add ! am.t (! fee 6! co/ 6: x relates1 ei ! l& or ! build+4 #ahj ,>ea ;,f--,details ( l& a#cb a4i;ns & 4posi;ns 9 ! ye> ,5t] ! total co/ ( acquir+ l& 9 #bjji on l9e #iibc4 ,! co/ 9cludes ! pur*ase price (! l& plus any relat$ exp5ses t y %d add 6! capital co/ (! l&1 s* z legal fees1 l& transf] taxes1 & mortgage fees4 ,y _c claim ,,cca on l&4 ,d n 5t] ? am.t 9 column #c ( ,>ea ;,a4 ,column #d--,proce$s ( 4posi;ns 9 ! ye> ,5t] ! details ( yr #bjji 4posi;ns on yr ,=m ,t#babe z expla9$ 2l4 ,if y 4pos$ (a deprecia# prop]ty dur+ ! #bjji fiscal p]iod1 5t] 9 column #c (! appropriate 4posi;ns >ea 7,>ea ;,d or ,>ea ;,e7 "o (! foll[+ am.ts1 :i*"e is less3 --yr proce$s ( 4posi;n m9us any relat$ exp5ses2 or --! capital co/ (! prop]ty4 #aha ,*apt] #d b#cb ,note ,if a *>t asks =! p]sonal "p (a prop]ty1 ? ref]s 6! "p t y use p]son,y1 sep>ate f ! "p y use = busi;s4 ,= example1 if y use #be@3p (! build+ y live 9 = busi;s1 yr p]sonal "p is ! o!r #ge@3p4 ,copy ! numb]s f column #e = ea* class 9 ,>ea ;,d & ,>ea ;,e 6column #d ( ,>ea ;,a = ea* class4 ,if y rcvd 9sur.e proce$s 6reimburse y =! loss or de/ruc;n ( deprecia# prop]ty1 5t] ! am.t y sp5t 6replace ! prop]ty 9 column #c ( ,>ea ;,a1 & al 9 ,>ea ;,b or ,>ea ;,c1 :i*"e applies4 ,9clude ! am.t ( 9sur.e proce$s 3sid]$ z proce$s ( 4posi;n 9 column #d ( ,>ea ;,a1 & 9 ,>ea ;,d or ,>ea ;,e1 :i*"e applies4 ,if y sell a prop]ty = m ?an x co/1 y w h a capital ga94 ,y may 2 a# 6po/p"o or def] a4+ a capital ga9 or recapture ( ,,cca 69come4 ,= m 9=m,n1 r1d ! sec;ns #ahb ,*apt] #d c#cb 8,capital ga9s0 on page #ch & 8,replace;t prop]ty0 on page #dj4 ,if y replac$ a lo/ or de/roy$ prop]ty )9 a ye> (! loss1 special rules = replace;t prop]ty may apply 6y4 ,see ,9t]pret,n ,bullet9 ,,it-#bei1 ,ex*ange ( ,prop]ty1 & ,9t]pret,n ,bullet9 ,,it-#dia1 ,=m] ,busi;s ,prop]ty1 & xs ,special ,rel1se4 ,>ea ;,d--,details ( equip;t 4posi;ns 9 ! ye> ,li/ 9 ? *>t ! details ( all equip;t 79clud+ motor vehicles7 y 4pos$ ( 9 yr #bjji fiscal p]iod4 ,gr\p ! equip;t 96! applica# classes1 & put ea* class on a sep>ate l9e4 ,5t] on l9e #iibf ! total busi;s "p (! proce$s ( 4posi;n (! equip;t4 #ahc ,>ea ;,e--,details ( d#cb build+ 4posi;ns 9 ! ye> ,li/ 9 ? *>t ! details ( all build+s y 4pos$ ( 9 yr #bjji fiscal p]iod4 ,gr\p ! build+s 96! applica# classes1 & put ea* class on a sep>ate l9e4 ,5t] on l9e #iibh ! total busi;s "p (! proce$s ( 4posi;n (! build+s4 ,>ea ;,f--,details ( l& a4i;ns & 4posi;ns 9 ! ye> ,5t] on l9e #iibd ! total ( all am.ts y rcvd or w rcv = 4pos+ ( l& 9 ! fiscal p]iod4 ,column #e--,,ucc af a4i;ns & 4posi;ns ,y _c claim ,,cca :5 ! am.t 9 column #e is3 --negative 7r1d 8,recapture ( ,,cca0 2l72 or #ahd ,*apt] #d e#cb --positive & y d n h any prop]ty left 9 t class at ! 5d ( yr #bjji fiscal p]iod 7r1d 8,t]m9al loss0 2l74 ,9 ei case1 5t] 8#j0 9 column #aj4 ,recapture ( ,,cca ,if ! am.t 9 column #e is negative1 y h a recapture ( ,,cca4 ,5t] yr recapture on l9e #hbcj1 8,o!r 9come10 9 ,"p #c on page #a ( yr ,=m ,t#babe4 ,a recapture ( ,,cca c happ5 if ! proce$s f ! sale ( deprecia# prop]ty >e m ?an ! total (3 --! ,,ucc (! class at ! />t (! p]iod2 & --! capital co/ ( any new a4i;ns dur+ ! p]iod4 ,a recapture ( ,,cca c al o3ur1 = example1 :5 y get a gov]n;t grant or claim an 9ve/;t tax cr$it4 #ahe ,t]m9al loss f#cb ,if ! am.t 9 column #e is positive & y no l;g] [n any prop]ty 9 t class1 y may h a t]m9al loss4 ,m precisely1 y may h a t]m9al loss :51 at ! 5d (a fiscal p]iod1 y h no m prop]ty 9 ! class b / h an am.t : y h n deduct$ z ,,cca4 ,y c usu,y subtract ? t]m9al loss f yr gross busi;s or profes.nal 9come 9 ! ye> y 4pos$ (! prop]ty4 ,5t] yr t]m9al loss on l9e #ibgj1 8,o!r exp5ses10 9 ,"p #e on page #b ( yr ,=m ,t#babe4 ,= m 9=m,n on recapture ( ,,cca & t]m9al loss1 see ,9t]pret,n ,bullet9 ,,it-#dgh1 ,capital ,co/ ,all[.e-- ,recapture & ,t]m9al ,loss4 ,note ,! rules = recapture ( ,,cca & t]m9al loss d n apply 6pass5g] vehicles 9 ,class #aj.a4 ,h["e1 to #ahf ,*apt] #d #cc calculate yr ,,cca claim1 r1d ! -;ts 9 8,column #g--,base am.t = ,,cca0 on ? page4 ,column #f--,adju/;t = curr5t- ye> a4i;ns ,9 ! ye> y acquire or make a4i;ns 6a prop]ty1 y c usu,y claim ,,cca on "o- half ( yr net a4i;ns 7! am.t 9 column #c m9us ! am.t 9 column #d74 ,we call ? ! .half-ye> .rule4 ,calculate yr ,,cca claim only on ! net adju/$ am.t4 ,d n reduce ! co/ (! a4i;ns 9 column #c or ! ,,cca rate 9 column #h4 ,= example1 if y acquir$ a prop]ty 9 yr #bjji fiscal p]iod = 4#cj1jjj1 y wd base yr ,,cca claim on 4#ae1jjj 74#cj1jjj multipli$ 0#ej@3p74 ,if y acquir$ & 4pos$ ( deprecia# prop]ty (! same class 9 yr #bjji fiscal p]iod1 ! calcul,n 9 column #f re/ricts yr ,,cca claim4 ,calculate ! ,,cca y c claim z foll[s3 #ahg ,*apt] #d a#cc --,det]m9e : (! foll[+ am.ts is less3 --! proce$s ( 4posi;n (! prop]ty sold1 m9us any relat$ co/s or exp5ses2 or --! capital co/4 --,subtract ! abv am.t f ! capital co/ ( yr a4i;n4 --,5t] #ej@3p (! result 9 column #f4 ,if ! result is negative1 5t] 8#j40 ,9 "s cases1 y d n make an adju/;t 9 column #f4 ,= example1 9 a .non->m's .l5g? .transac;n 7r1d ! def9i;n on page #bi71 y may buy deprecia# prop]ty t ! sell] 3t9u\sly [n$ f ! "d t is at l1/ #cfd "ds 2f ! 5d ( yr #bjji fiscal p]iod 6! "d ! prop]ty 0 pur*as$4 ,h["e1 if y transf] p]sonal prop]ty1 = example1 a c> or a p]sonal -put]1 96yr busi;s1 ! half- ye> rule applies 6! "picul> prop]ty transf]r$4 ,al1 "s prop]ties >e n subject 6! half-ye> rule4 ,"s examples >e ^? 9 classes #ac1 #ad1 #bc1 #bd1 #bg1 #bi1 #cd1 & #eb1 z well z "s ( ^? 9 #ahh ,*apt] #d b#cc ,class #ab1 s* z small tools4 ,! half- ye> rule does .n apply :5 ! availa#-=- use rules 4cuss$ on page #bi d5y a ,,cca claim until ! second tax ye> af ! ye> y acquire ! prop]ty4 ,if y ne$ m details on ! special rules t apply 6,class #ac1 see ,9t]pret,n ,bullet9 ,,it-#dfd1 ,capital ,co/ ,all[.e--,l1sehold ,9t]e/s1 &= m details on ! half-ye> rule1 see ,9t]pret,n ,bullet9 ,,it-#bhe1 ,capital ,co/ ,all[.e--,g5]al ,-;ts4 ,column #g--,base am.t = ,,cca ,base yr ,,cca claim on ? am.t4 ,=a ,class #aj.a vehicle y 4pos$ ( 9 yr #bjji fiscal p]iod1 y may 2 a# 6claim #ej@3p (! ,,cca t wd 2 all[$ if y / [n$ ! vehicle at ! 5d ( yr #bjji fiscal p]iod4 ,? is "kn z ! .half-ye> rule on sale4 ,y c use ! half-ye> rule on sale if1 at ! 5d ( yr #bjjh fiscal p]iod1 #ahi ,*apt] #d c#cc y [n$ ! ,class #aj.a vehicle y 4pos$ ( 9 #bjji4 ,if ? applies 6y1 5t] #ej@3p (! am.t f column #b 9 column #g4 ,column #h--,rate 7@3p7 ,9 ? column1 5t] ! rate = ea* class ( prop]ty 9 ,>ea ;,a4 ,= detail$ 9=m,n on c]ta9 k9ds ( prop]ty1 r1d 8,classes ( deprecia# prop]ty0 on page #cc4 ,=a m -plete li/ ( classes & rates1 r1d ! *>t 8,,cca classes ( -monly us$ busi;s assets0 on page #de4 ,column #i--,,cca =! ye> ,9 column #i1 5t] ! ,,cca y *oose 6deduct = #bjji4 ,! ,,cca y c deduct _c 2 m ?an ! am.t y get :5 y multiply ! am.t 9 column #g 0! rate 9 column #h4 ,y c deduct any am.t up 6! maximum4 ,if ? is yr f/ ye> ( busi;s1 y may h 6prorate yr ,,cca claim4 ,r1d 8,y 7 ask+ '''0 on page #cj4 #aij ,*apt] #d d#cc ,add up all ! am.ts 9 column #i4 ,5t] ! total on l9e #iicf1 8,capital co/ all[.e10 9 ,"p #e on page #b ( ,=m ,t#babe4 ,6f9d \ h[ 6calculate yr ,,cca claim if y >e us+ ! prop]ty bo? = busi;s & p]sonal use1 r1d 8,p]sonal use ( prop]ty0 on page #cf4 ,column #aj--,,ucc at ! 5d (! ye> ,? is ! undepreciat$ capital co/ 7,,ucc7 at ! 5d ( yr #bjji fiscal p]iod4 ,? is ! am.t y w 5t] 9 column #b :5 y calculate yr ,,cca claim next ye>4 ,5t] 8#j0 9 column #aj if y h a t]m9al loss or a recapture ( ,,cca4 ,"! w n 2 an am.t 9 column #aj =a ,class #aj.a pass5g] vehicle y 4pose ( 9 ! ye>4 ,classes ( deprecia# prop]ty ,9 ? "p1 we 4cuss ! m -mon classes ( deprecia# prop]ty4 ,we al li/ mo/ #aia ,*apt] #d e#cc (! classes & _! rates 9 ! *>t 8,,cca classes ( -monly us$ busi;s assets0 on page #de4 ,class #a 7#d@3p7 ,a .build+ may 2l;g 6class #a1 #c1 or #f1 dep5d+ on :at ! build+ is made (&! date y acquir$ x4 ,y al 9clude 9 ^! classes ! "ps t make up ! build+1 s* z3 --electrical wir+2 --liea #aib ,*apt] #d a#cd ;,a & ,>ea ;,c4 ,5t] on l9e #iibc 9 ,>ea ;,f ( ,=m ,t#babe ! co/ ( all l& a4i;ns 9 #bjji4 ,= m details1 r1d 8,>ea ;,f--,details ( l& a4i;ns & 4posi;ns 9 ! ye>0 on page #cb & 8,column #c--,co/ ( a4i;ns 9 ! ye>0 on page #ca4 ,if y ne$ m 9=m,n1 see ,9t]pret,n ,bullet9 ,,it-#gi1 ,capital ,co/ ,all[.e --,build+s or ,o!r ,/ructures4 ,class #a 9cludes mo/ build+s acquir$ af #aihg1 un.s !y specific,y 2l;g 9 ano!r class4 ,class #a al 9cludes ! co/ ( c]ta9 a4i;ns or alt],ns y made 6a ,class #a build+ or c]ta9 build+s ( ano!r class af #aihg4 ,! ,,cca rate = eligi# .non-resid5tial .build+s acquir$ 0a taxpay] af ,m>* #ah1 #bjjg1 us$ =! manufactur+ or process+ 9 ,canada ( gds = sale or l1se1 9cludes an a4i;nal all[.e ( #f@3p =a total rate ( #aj@3p4 ,! ,,cca rate = o!r eligi# .non- resid5tial .build+s 9cludes an #aic ,*apt] #d b#cd a4i;nal all[.e ( #b@3p =a total rate ( #f@3p4 ,6be eligi# = "o (! a4i;nal all[.es1 y m/ elect 6place a build+ 9 a sep>ate class4 ,6make ! elec;n1 atta* a lr 6yr return =! tax ye> 9 : y acquir$ x4 ,if y d n file an elec;n 6put x 9 a sep>ate class1 ! rate ( #d@3p w apply4 ,! a4i;nal all[.e applies 6build+s acquir$ af ,m>* #ah1 #bjjg1 79clud+ a new build+1 if any por;n ( x is acquir$ af ,m>* #ah1 #bjjg1 ": ! build+ 0 "u 3/ruc;n on ,m>* #ai1 #bjjg17 t h n be5 us$ or acquir$ = use 2f ,m>* #ai1 #bjjg4 ,6be eligi# =! #f@3p a4i;nal all[.e1 at l1/ #ij@3p (a build+ 7m1sur$ 0squ>e footage7 m/ 2 us$ =! designat$ purpose at ! 5d (! tax ye>4 ,manufactur+ & process+ build+s t d n meet ! #ij@3p use te/ w 2 eligi# =! a4i;nal #b@3p all[.e if at l1/ #ij@3p (! build+ is us$ = non- resid5tial purposes at ! 5d (! tax ye>4 #aid ,class #c 7#e@3p7 c#cd ,mo/ build+s acquir$ 2f #aihh 7 9clud$ 9 ,class #c or ,class #f4 ,if y acquir$ a build+ 2f #aiij t does n fall 96,class #f1 y c 9clude x 9 ,class #c )a ,,cca rate ( #e@3p if ."o (! foll[+ applies3 --y acquir$ ! build+ "u ! t]ms (a writt5 agree;t 5t]$ 962f ,june #ah1 #aihg2 or --! build+ 0 "u 3/ruc;n 0y or = y on ,june #ah1 #aihg4 ,9clude 9 ,class #c ! co/ ( any a4i;ns or alt],ns made af #aihg 6a ,class #c build+ t does n exce$ ! .less] .(! foll[+ two am.ts3 --4#ejj1jjj2 or --#be@3p (! build+'s capital co/ 79clud+ ! co/ ( a4i;ns or alt],ns 6! build+ 9clud$ 9 ,class #c1 ,class #f1 or ,class #bj 2f #aihh74 ,any am.t t exce$s ! less] am.t abv is 9clud$ 9 ,class #a4 #aie ,class #f 7#aj@3p7 d#cd ,9clude 9 ,class #f )a ,,cca rate ( #aj@3p a build+ if x is made ( frame1 log1 /u3o on frame1 galvaniz$ iron1 or corrugat$ metal 7corrugat$ iron 2f #aihh74 ,9 a4i;n1 "o (! foll[+ 3di;ns has 6apply3 --y acquir$ ! build+ 2f #aigi4 --! build+ m/ 2 us$ 6ga9 or produce 9come f f>m+ or fi%+2 or --! build+ m/ h no foot+s or o!r base supports 2l gr.d level4 ,if ei (! abv 3di;ns applies1 y al add ! full co/ ( all a4i;ns & alt],ns 6! build+ 6,class #f4 ,if nei (! abv 3di;ns applies1 9clude ! build+ 9 ,class #f if ."o (! foll[+ 3di;ns applies3 --,y 5t]$ 96a writt5 agree;t 2f #aigi 6acquire ! build+1 &! foot+s or o!r base supports (! build+ 7 />t$ 2f #aigi4 --,y />t$ 3/ruc;n (! build+ 2f #aigi 7or x 0 />t$ "u ! t]ms (a #aif ,*apt] #d e#cd writt5 agree;t y 5t]$ 962f #aigi71 & foot+s or o!r base supports (! build+ 7 />t$ 2f #aigi4 ,al 9clude 9 ,class #f1 c]ta9 gre5h\ses & f;es4 ,= a4i;ns or alt],ns 6s* a build+3 --,add 6,class #f3 --! f/ 4#ajj1jjj ( a4i;ns or alt],ns made af #aigh4 --,add 6,class #c3 --! "p (! co/ ( all a4i;ns or alt],ns abv 4#ajj1jjj made af #aigh & 2f #aihh2 & --! "p (! co/ ( a4i;ns or alt],ns abv 4#ajj1jjj made af #aihg1 b only up 64#ejj1jjj or #be@3p (! co/ (! build+1 :i*"e is less4 --,add 6,class #a any a4i;ns or alt],ns abv ^! limits4 ,if y ne$ m 9=m,n1 see ,9t]pret,n ,bullet9 ,,it-#gi1 ,capital ,co/ ,all[.e --,build+s or ,o!r ,/ructures4 #aig ,class #h 7#bj@3p7 f#cd ,class #h )a ,,cca rate ( #bj@3p 9cludes c]ta9 prop]ty t is n 9clud$ 9 ano!r class4 ,examples >e furniture1 appli.es1 tools co/+ 4#bjj or m 74#ejj or m "u propos$ *anges71 "s fixtures1 ma*9]y1 \tdoor adv]tis+ signs1 refrig],n equip;t1 & o!r equip;t y use 9 busi;s4 -------------------------------------#ce ,photocopi]s & electronic -munic,ns equip;t1 s* z fax ma*9es & electronic teleph"o equip;t >e al 9clud$ 9 ,class #h4 ,note ,if ? equip;t co/ 4#a1jjj or m1 y c elect 6h x 9clud$ 9 a sep>ate class4 ,! ,,cca rate w n *ange b a sep>ate ,,cca deduc;n c n[ 2 calculat$ =a five ye> p]iod4 ,:5 all ! prop]ty 9 ! class is 4pos$ (1 ! ,,ucc is fully deducti# z a t]m9al loss4 ,any ,,ucc bal.e rema9+ 9 ! sep>ate class at ! 5d (! fif? ye> has 6be transf]r$ back #aih ,*apt] #d a#ce 6! g5]al class 9 : x wd o!rwise 2l;g4 ,6make an elec;n1 atta* a lr 6yr 9come tax return =! tax ye> 9 : y acquir$ ! prop]ty4 ,al 9clude 9 ,class #h data net"w 9fra/ructure equip;t & sy/ems s(tw>e = t equip;t acquir$ 2f ,m>* #bc1 #bjjd4 ,if acquir$ af ,m>* #bb1 #bjjd1 9clude x 9 ,class #df4 ,r1d 8,class #df 7#cj@3p70 on page #ce4 ,class #aj 7#cj@3p7 ,9clude 9 ,class #aj )a ,,cca rate ( #cj@3p g5]al-purpose electronic data- process+ equip;t 7-monly call$ -put] h>dw>e7 & sy/ems s(tw>e = t equip;t1 9clud+ ancill>y data-process+ equip;t1 if y acquir$ !m 2f ,m>* #bc1 #bjjd1 or af ,m>* #bb1 #bjjd1 & 2f #bjje1 & y made an elec;n4 ,al 9clude 9 ,class #aj motor vehicles1 automobiles1 & "s #aii ,*apt] #d b#ce pass5g] vehicles4 ,we def9e .motor .vehicle1 .automobile1 & .pass5g] .vehicle on page #bj4 ,9clude a pass5g] vehicle 9 ,class #aj un.s x meets a ,class #aj.a 3di;n4 ,class #aj.a 7#cj@3p7 ,yr pass5g] vehicle c 2l;g 6ei ,class #aj or ,class #aj.a4 ,we def9e a .pass5g] .vehicle on page #ba4 ,6det]m9e ! class 6: yr pass5g] vehicle 2l;gs1 y h 6use ! co/ (! vehicle 2f y add ,,gst & ,,pst1 or ,,hst4 ,9clude yr pass5g] vehicle 9 ,class #aj.a if y b"\ x 9 yr #bjji fiscal p]iod & x co/ m ?an 4#cj1jjj4 ,li/ ea* ,class #aj.a vehicle sep>ately4 ,we 3sid] ! capital co/ (a ,class #aj.a vehicle 6be 4#cj1jjj plus ! relat$ ,,gst & ,,pst1 or ,,hst4 ,! 4#cj1jjj am.t is ! capital co/ limit =a pass5g] vehicle4 #bjj ,*apt] #d c#ce ,note ,use ! ,,gst rate ( #e@3p &! appropriate ,,pst rate = yr prov9ce or t]ritory4 ,if yr prov9ce is a "picipat+ prov9ce1 use ,,hst4 ,= m 9=m,n on ,,gst & ,,hst1 see ,guide ,,rc#djbb1 ,g5]al ,9=m,n = ,,gst/,,hst ,regi/rants4 ,example ,k>im [ns a sport+ gds retail busi;s4 ,on ,july #ba1 #bjji1 he b"\ two pass5g] vehicles 6use 9 8 busi;s4 ,! ,,pst rate = 8 prov9ce is #h@3p4 ,k>im not$ ^! details = #bjji3 ,transcrib]'s note3 7,! foll[+ is set up 9 f\r columns3 ,column #a3 ,co/ ,column #b3 ,,gst ,column #c3 ,,pst ,column #d3 ,total7 #bja ,*apt] #d d#ce ,vehicle #a ,co/ 4#cc1jjj ,,gst 4#a1fej ,,pst 4#b1fdj ,total 4#cg1bij ,vehicle #b ,co/ 4#bh1jjj ,,gst 4#a1djj ,,pst 4#b1bdj ,total 4#ca1fdj ,k>im puts ,vehicle #a 9 ,class #aj.a1 s9ce he b"\ x 9 #bjji & x co/ hm m ?an 4#cj1jjj4 ,2f ,k>im 5t]s an am.t 9 column #c ( ,>ea ;,b1 he has 6calculate ! ,,gst & ,,pst on 4#cj1jjj4 ,he does ? z foll[s3 --,,gst at #e@3p ( 4#cj1jjj equals 4#a1ejj2 & --,,pst at #h@3p ( 4#cj1jjj equals 4#b1djj4 #bjb ,*apt] #d e#ce ,"!=e1 ,k>im's capital co/ = ,vehicle #a is 4#cc1ijj 74#cj1jjj plus 4#a1ejj plus 4#b1djj74 ,he 5t]s ? am.t 9 column #c ( ,>ea ;,b4 ,k>im puts ,vehicle #b 96,class #aj1 s9ce he b"\ x 9 #bjji & x did n co/ hm m ?an 4#cj1jjj4 ,k>im's capital co/ = ,vehicle #b is 4#ca1fdj 74#bh1jjj plus 4#a1djj plus 4#b1bdj74 ,he 5t]s ? am.t 9 column #c ( ,>ea ;,b4 ,class #ab 7#ajj@3p7 ,class #ab 9cludes *9a1 cutl]y1 l951 uni=ms1 dies1 jigs1 m\lds1 cutt+ or %ap+ "ps (a ma*9e1 tools1 -put] s(tw>e 7except sy/ems s(tw>e74 ,al 9clud$ >e video cassettes1 video las] discs1 or digital video disks b"\ af ,decemb] #ab1 #bjc ,*apt] #d f#ce #aiie1 t y r5t & d n expect 6r5t 6any p]son = m ?an #g "ds 9 a #cj "d p]iod4 ,"u propos$ *anges1 ! co/ limit = a3ess 6! ,class #ab 7#ajj@3p7 tr1t;t w 9cr1se 64#ejj f 4#bjj =3 --tools acquir$ on or af ,may #b1 #bjjf2 & --m$ical or d5tal 9/ru;ts & kit*5 ut5sils acquir$ on or af ,may #b1 #bjjf4 ,h["e1 if ! tools1 m$ical or d5tal 9/ru;ts & kit*5 ut5sils co/ 4#bjj or m 74#ejj or m "u propos$ *anges71 9clude ! co/ 9 ,class #h4 ,tools eligi# "u ? class specific,y exclude electronic -munic,n devices & electronic data-process+ equip;t4 ,class #de 7#de@3p7 ,9clude g5]al-purpose electronic data- process+ equip;t 7-monly call$ -put] h>dw>e7 & sy/ems s(tw>e = t equip;t1 9clud+ ancill>y data-process+ #bjd ,*apt] #d g#ce equip;t1 9 ,class #de )a ,,cca rate ( #de@3p if y acquir$ !m af ,m>* #bb1 #bjjd1 & 2f ,m>* #ai1 #bjjg4 ,note ,if y acquir$ ! equip;t or s(tw>e 2f #bjje & made ! sep>ate ,class #h elec;n1 z 4cuss$ 9 ! ,class #h note1 ! prop]ty does n qualify =! #de@3p rate4 ,class #df 7#cj@3p7 ,9clude 9 ,class #df )a ,,cca rate ( #cj@3p data net"w 9fra/ructure equip;t & sy/ems s(tw>e = t -------------------------------------#cf equip;t if acquir$ af ,m>* #bb1 #bjjd4 ,if acquir$ 2f ,m>* #bc1 #bjjd1 9clude x 9 ,class #h4 ,r1d 8,class #h 7#bj@3p70 on page #cd4 #bje ,class #ej 7#ee@3p7 a#cf ,9clude 9 ,class #ej )a ,,cca rate ( #ee@3p g5]al-purpose electronic data- process+ equip;t 7-monly call$ -put] h>dw>e7 & sy/ems s(tw>e = t equip;t1 9clud+ ancill>y data-process+ equip;t if acquir$ af ,m>* #ah1 #bjjg1 & n 9clud$ 9 ,class #bi or ,class #eb4 ,/>t \tl9e ,class #eb 7#ajj@3p7 ,9clude 9 ,class #eb )a ,,cca rate ( #ajj@3p 7) no half-ye> rule7 g5]al- purpose electronic data-process+ equip;t 7-monly call$ -put] h>dw>e7 & sy/ems s(tw>e = t equip;t1 9clud+ ancill>y data-process+ equip;t if acquir$ af ,janu>y #bg1 #bjji1 & 2f ,febru>y #bjaa4 ,6qualify = ? rate ! asset m/ al3 #bjf ,*apt] #d b#cf --be situat$ 9 ,canada2 --n h be5 us$1 or acquir$ = use1 = any purpose 2f x is acquir$ 0! taxpay]2 --be acquir$ 0! taxpay]3 --= use 9 a busi;s c>ri$ on 0! taxpay] 9 ,canada or =! purposes ( e>n+ 9come f prop]ty situat$ 9 ,canada2 or --= l1se 0! taxpay] 6a lessee = use 0! lessee 9 a busi;s c>ri$ on 0! lessee 9 ,canada or =! purpose ( e>n+ 9come f prop]ty situat$ 9 ,canada4 ,5d \tl9e ,special situ,ns ,p]sonal use ( prop]ty ,if y buy prop]ty = bo? busi;s & p]sonal use1 y c %[ ! busi;s "p (! prop]ty 9 ,>ea ;,b or ,>ea ;,c 9 two ways3 #bjg ,*apt] #d c#cf --,if yr busi;s use /ays ! same f ye> 6ye>1 5t] 9 ,>ea ;,b or ,>ea ;,c ! total co/ (! prop]ty 9 column #c1 ! p]sonal "p 9 column #d1 &! busi;s por;n 9 column #e4 ,5t] 9 column #c ( ,>ea ;,a ! am.t f column #e ( ,>ea ;,b or ,>ea ;,c 6calculate ! ,,cca y c claim4 --,if yr busi;s use *anges f ye> 6ye>1 5t] 9 ,>ea ;,b or ,>ea ;,c ! total co/ (! prop]ty 9 column #c & column #e1 & 5t] 8#j0 9 column #d4 ,5t] 9 column #c ( ,>ea ;,a ! am.t f column #e ( ,>ea ;,b or ,>ea ;,c & calculate ! ,,cca am.t 7busi;s & p]sonal7 9 column #i4 ,! am.t 9 column #aj 7,,ucc at ! 5d (! ye>7 is equal 6! am.t 9 column #e m9us ! am.t 9 column #i4 ,:5 y claim ,,cca on ,=m ,t#babe1 y h 6calculate ! all[a# "p (! column #i am.t bas$ on yr busi;s use4 ,= an example1 r1d page #da4 #bjh ,*apt] #d d#cf ,! ,,cca calculat$ =! busi;s use (a "w space 9 yr home 9 ,>ea ;,a ( ,=m ,t#babe m/ 2 report$ on ! *>t1 8,calcul,n ( busi;s-use-(-home exp5ses10 on page #c (! =m4 ,? ,,cca m/ 2 subtract$ f ! total am.t (! ,,cca =! ye> calculat$ 9 ,>ea ;,a & m/ n 2 9clud$ on l9e #iicf1 8,capital co/ all[.e10 9 ,"p #e on page #b ( ,=m ,t#babe4 ,example ,nadir [ns a f9ancial 3sult+ busi;s4 ,he b"\ a c> 9 #bjji = p]sonal & busi;s use4 ,! c> co/ 4#bj1jjj1 9clud+ all *>ges & taxes4 ,"!=e1 he 9cludes ! c> 9 ,class #aj4 ,8 busi;s use ? ye> 0 #ab1jjj kilometres (! total #ah1jjj kilometres driv54 ,he calculates 8 ,,cca on ! c> = #bjji z foll[s3 ,he 5t]s 4#bj1jjj 9 column #c & column #e ( ,>ea ;,b4 ,nadir al 5t]s 4#bj1jjj 9 column #c ( ,>ea ;,a4 ,0-plet+ ! o!r columns 9 ! *>t1 he calculates #bji ,*apt] #d e#cf ,,cca =! ye> ( 4#c1jjj4 ,2c ,nadir us$ 8 c> "ply = p]sonal use1 he calculates 8 ,,cca claim z foll[s3 #ab1jjj 7busi;s kilometres7 divid$ 0#ah1jjj 7total kilometres7 multipli$ 04#c1jjj equals 4#b1jjj ,nadir 5t]s 4#b1jjj on l9e #iicf1 8,capital co/ all[.e10 on page #b ( 8 ,=m ,t#babe4 ,note ,! capital co/ limits on a ,class #aj.a vehicle 7a pass5g] vehicle7 / apply :5 y split ! capital co/ 2t busi;s & p]sonal use4 ,= m details1 r1d 8,class #aj.a 7#cj@3p70 on page #ce4 ,*ang+ f p]sonal 6busi;s use ,if y b"\ a prop]ty = p]sonal use & />t$ us+ x 9 yr busi;s 9 yr #bjji #baj ,*apt] #d f#cf fiscal p]iod1 "! is a *ange 9 use4 ,y ne$ 6det]m9e ! capital co/ = busi;s purposes4 ,if ! fair m>ket value 7,,fmv7 (a deprecia# prop]ty is less ?an xs orig9al co/ :5 y *ange xs use1 ! am.t y put 9 column #c ( ,>ea ;,b or ,>ea ;,c is ! ,,fmv (! prop]ty 7exclud+ ! l& value if ! prop]ty is l& &a build+74 ,if ! ,,fmv is m ?an ! orig9al co/ (! prop]ty 7exclud+ ! l& value if ! prop]ty is l& &a build+7 :5 y *ange xs use1 use ! foll[+ *>t 6det]m9e ! am.t 65t] 9 column #c ( ,>ea ;,b or ,>ea ;,c4 ,:5 y />t 6use yr prop]ty = busi;s use1 y >e 3sid]$ 6h 4pos$ ( x4 ,if ! ,,fmv (! prop]ty is grt] ?an xs co/1 y may h a capital ga94 ,see ,guide ,t#djcg1 ,capital ,ga9s1 = an explan,n ( capital ga9s4 #baa ,capital ,co/ ,calcul,n #cg 7#a7 ,actual co/ (! prop]ty """"""""""""""""""""""" 4#---- 7#b7 ,,fmv (! prop]ty """"""""""" 4#---- 7#c7 ,am.t f l9e #a """"""""""""" 4#---- 7#d7 ,l9e #b .m9us l9e #c 7if negative1 5t] 8#j07 """"""" 4#---- 7#e7 ,5t] any capital ga9s deduc;n claim$ =! am.t on l9e #d 99 4#---- "ts #b """"""""""""""""""""" 4#---- 7#f7 ,l9e #d .m9us l9e #e 7if negative1 5t] 8#j07 4#---- "ts "o-half """""""""""" 4#---- 7#g7 .,capital .co/3 l9e #a .plus l9e #f """""""""""""""""""""""" 4#---- 99 ,5t] ! am.t t relates 6! deprecia# prop]ty only4 ,note ,we 3sid] t y acquire ! l& = an am.t equal 6xs ,,fmv :5 y *ange xs use4 ,9clude ? am.t on l9e #iibc1 #bab ,*apt] #d a#cg 8,total co/ ( all l& a4i;ns 9 ! ye>10 9 ,>ea ;,f4 ,grants1 subsidies1 or o!r 9c5tives or 9duce;ts ,y may get a grant or subsidy f a gov]n;t or a gov]n;t ag5cy 6buy deprecia# prop]ty4 ,:5 ? happ5s1 subtract ! am.t (! grant f ! prop]ty's capital co/4 ,d ? 2f y 5t] ! capital co/ 9 column #c ( ,>ea ;,b or ,>ea ;,c4 ,y may h pd ,,gst/,,hst on "s (! deprecia# prop]ty y acquir$ = yr busi;s4 ,if s1 y may h al rcvd an 9put tax cr$it f u4 ,! 9put tax cr$it is gov]n;t assi/.e4 ,"!=e1 subtract x f ! prop]ty's capital co/4 ,d ? 2f y 5t] ! capital co/ 9 column #c ( ,>ea ;,b or ,>ea ;,c1 :i*"e applies4 ,if y rcv an 9put tax cr$it =a pass5g] vehicle y use 9 yr busi;s1 use "o ( ^! me?ods3 --,=a pass5g] vehicle y us$ .#ij@3p .or .m = yr busi;s1 #bac ,*apt] #d b#cg subtract ! am.t (! cr$it f ! vehicle's co/ 2f y 5t] xs capital co/ 9 column #c ( ,>ea ;,c4 --,=a pass5g] vehicle y us$ .less .?an .#ij@3p = yr busi;s1 d n make an adju/;t 9 #bjji4 ,9 #bjaj1 subtract ! am.t (! cr$it f yr 2g9n+ ,,ucc4 ,y may get an 9c5tive f a non-gov]n;t ag5cy 6buy deprecia# prop]ty4 ,if ? happ5s1 y c ei 9clude ! am.t 9 9come or subtract ! am.t f ! capital co/ (! prop]ty4 ,= m details ab gov]n;t assi/.e1 see ,9t]pret,n ,bullet9 ,,it-#bgc1 ,gov]n;t ,assi/.e--,g5]al ,-;ts4 ,non->m's l5g? transac;ns ,:5 y acquire prop]ty 9 a non->m's l5g? transac;n1 "! >e special rules 6foll[ 6det]m9e ! prop]ty's co/4 ,^! special rules d n apply if y get ! prop]ty 2c ( "s"o's d1?4 #bad ,*apt] #d c#cg ,y c acquire deprecia# prop]ty 9 a non->m's l5g? transac;n f an 9dividual resid5t 9 ,canada1 a "pn]%ip ) at l1/ "o "pn] :o is an 9dividual resid5t 9 ,canada1 or a "pn]%ip ) at l1/ "o "pn] t is ano!r "pn]%ip4 ,if y pay m =! prop]ty ?an ! sell] pd =! same prop]ty1 calculate ! co/ z foll[s3 ,capital ,co/ ,calcul,n 7#a7 ,! sell]'s co/ or capital co/ """"""""""""""""""" 4#---- 7#b7 ,! sell]'s proce$s ( 4posi;n """""""""""""""" 4#---- 7#c7 ,am.t f l9e #a """""" 4#---- 7#d7 ,l9e #b .m9us l9e #c 7if negative1 5t] 8#j07 4#---- 7#e7 ,5t] any capital ga9s deduc;n claim$ =! am.t on l9e #d 4#---- "ts #b 4#---- #bae ,*apt] #d d#cg 7#f7 ,l9e #d .m9us l9e #e 7if negative1 5t] 8#j07 4#---- "ts "o-half """""""""""" 4#---- 7#g7 .,capital .co/3 l9e #a .plus l9e #f """""""""""""""""""""""" 4#---- ,5t] ? am.t 9 column #c ( ei ,>ea ;,b or ,>ea ;;,c1 :i*"e applies4 ,d n 9clude ! co/ (! relat$ l&1 : y h 69clude on l9e #iibc1 8,total co/ ( all l& a4i;ns 9 ! ye>10 9 ,>ea ;,f4 ,y c al buy deprecia# prop]ty 9 a non- >m's l5g? transac;n f a corpor,n or f an 9dividual :o is n resid5t 9 ,canada1 or a "pn]%ip ) no "pn]s :o >e 9dividuals resid5t 9 ,canada or ) no "pn]s t >e o!r "pn]%ips4 ,if y pay m =a prop]ty ?an ! sell] pd = x1 calculate ! capital co/ z foll[s3 #baf ,capital ,co/ ,calcul,n e#cg 7#a7 ,! sell]'s co/ or capital co/ """"""""""""""""""" 4#---- 7#b7 ,! sell]'s proce$s ( 4posi;n """""""""""""""" 4#---- 7#c7 ,am.t f l9e #a """""" 4#---- 7#d7 ,l9e #b .m9us l9e #c 7if negative1 5t] 8#j07 4#---- "ts "o-half """""""""""" 4#---- 7#e7 .,capital .co/ l9e #a .plus l9e #d """""""""""""""""""""""" 4#---- ,5t] ? am.t 9 column #c ( ei ,>ea ;,b or ,>ea ;,c1 :i*"e applies4 ,d n 9clude ! co/ (! relat$ l&1 : y h 69clude on l9e #iibc1 8,total co/ ( all l& a4i;ns 9 ! ye>10 9 ,>ea ;,f4 -------------------------------------#ch ,if y buy deprecia# prop]ty 9 a non- >m's l5g? transac;n & pay less = x ?an ! sell] pd1 yr capital co/ is ! same am.t z ! sell] pd4 ,we 3sid] y 6h deduct$ z ,,cca ! di6];e 2t :at y pd & :at ! sell] pd4 #bag ,*apt] #d a#ch ,example ,ra*el b"\ a pickup truck = 4#d1jjj f h] "f1 ,m>cus1 9 h] #bjji fiscal p]iod4 ,m>cus pd 4#aj1jjj =! truck 9 #bjjd4 ,s9ce ! am.t ,ra*el pd is less ?an ! am.t ,m>cus pd1 we 3sid] ,ra*el's co/ 6be 4#aj1jjj4 ,we al 3sid] t ,ra*el has deduct$ ,,cca ( 4#f1jjj 9 ! pa/ 74#aj1jjj m9us 4#d1jjj74 ,ra*el -pletes ! ,,cca *>t z foll[s3 --,in ,>ea ;,b1 %e 5t]s 4#aj1jjj 9 column #c1 8,total co/40 --,in ,>ea ;,a1 %e 5t]s 4#d1jjj 9 column #c1 8,co/ ( a4i;ns 9 ! ye>10 z ! a4i;n = h] #bjji fiscal p]iod4 ,"! is a limit on ! co/ (a pass5g] vehicle y buy 9 a non->m's l5g? transac;n4 ,! co/ is ! .l1/ .(! foll[+ ?ree am.ts3 #bah ,*apt] #d b#ch --! ,,fmv :5 y buy x2 --4#cj1jjj plus ! ,,gst & ,,pst1 or ,,hst y wd pay on 4#cj1jjj1 if y b"\ x 9 yr #bjji fiscal p]iod2 or --! sell]'s co/ am.t (! vehicle :5 y buy x4 ,! co/ am.t c v>y1 dep5d+ on :at ! sell] us$ ! vehicle = 2f y b"\ x4 ,if ! sell] us$ ! vehicle 6e>n 9come1 ! co/ am.t w 2 ! ,,ucc (! vehicle :5 y buy x4 ,if ! sell] did n use ! vehicle 6e>n 9come1 ! co/ am.t w usu,y 2 ! orig9al co/ (! vehicle4 ,= m details on non->m's l5g? transac;ns1 see ,9t]pret,n ,bullet9 ,,it-#dai1 ,m1n+ ( ,>m's ,l5g?4 ,capital ga9s ,if y sell a prop]ty = m ?an x co/1 y may h a capital ga94 ,li/ ! 4posi;ns ( all yr prop]ties on ,s*$ule #c1 ,capital ,ga9s 7or ,losses7 9 #bjji4 #bai ,*apt] #d c#ch ,y w f9d a copy ( ? s*$ule 9 yr ,g5]al ,9come ,tax & ,b5efit ,guide package4 ,= details on h[ 6calculate yr taxa# capital ga91 see ,guide ,t#djcg1 ,capital ,ga9s4 ,y may 2 a "pn] 9 a "pn]%ip t gives y a ,t#ejac slip1 ,/ate;t ( ,"pn]%ip ,9come1 or a ,t#ejac;,a slip1 ,/ate;t ( ,"pn]%ip ,9come = ,tax ,%elt]s & ,ren\nc$ ,res\rce ,exp5ses4 ,if ! "pn]%ip has a capital ga91 x w allocate "p ( t ga9 6y4 ,! ga9 w %[ on ! "pn]%ip's f9ancial /ate;ts or on yr ,t#ejac or ,t#ejac;,a slip4 ,note ,y _c h a capital loss :5 y sell deprecia# prop]ty4 ,h["e1 y may h a t]m9al loss4 ,= an explan,n ( t]m9al losses1 r1d 8,column #e--,,ucc af a4i;ns & 4posi;ns0 on page #cb4 #bbj ,special rules = 4pos+ (a d#ch build+ 9 ! ye> ,if y 4pos$ (a build+ 9 ! ye>1 special rules may apply t make ! proce$s ( 4posi;n an am.t o!r ?an ! actual proce$s ( 4posi;n4 ,? happ5s :5 y meet .bo? (! foll[+ 3di;ns3 --y 4pos$ (! build+ = an am.t less ?an bo? xs co/ am.t1 z calculat$ 2l1 & xs capital co/ 6y2 & --y1 or a p]son ) :om y d n d1l at >m's l5g? 7r1d ! def9i;n ( 8,non- >m's l5g? transac;n0 on page #bi71 [n$ ! l& t ! build+ is on1 or ! l& next 6x1 : 0 nec =! build+'s use4 ,6calculate ! co/ am.t3 --,if ! build+ 0 ! only prop]ty 9 ! class1 ! co/ am.t is ! undepreciat$ capital co/ 7,,ucc7 (! class 2f y 4pos$ (! build+4 --,if m ?an "o prop]ty is 9 ! same class1 y h 6calculate ! co/ am.t ( ea* build+ z foll[s3 #bba ,*apt] #d e#ch capital co/ (! build+ divid$ 0capital co/ ( all prop]ty 9 ! class n previ\sly 4pos$ ( multipli$ 0,,ucc (! class equals co/ am.t (! build+ ,note ,if any prop]ty 9 ! class (! build+ t 0 acquir$ at non->m's l5g? 0 previ\sly us$ =a purpose o!r ?an ga9+ or produc+ 9come1 or if ! "p (a prop]ty us$ = ga9+ or produc+ 9come has *ang$1 ! capital co/ ( s* prop]ty has 6be recalculat$ 6det]m9e ! co/ am.t (! prop]ty4 ,if y 4pos$ (a build+ "u ^! 3di;ns1 & y or a p]son ) :om y d n d1l at >m's l5g? 4pos$ (! l& 9 ! same ye>1 calculate yr deem$ proce$s ( 4posi;n z %[n 9 ,calcul,n ;,a on ! next page4 ,if y1 or a p]son ) :om y d n d1l at >m's l5g?1 did n 4pose (! l& 9 ! same ye> z ! build+1 calculate yr #bbb ,*apt] #d f#ch deem$ proce$s ( 4posi;n z %[n 9 ,calcul,n ;,b on ! next page4 -------------------------------------#ci ,calcul,n ;,a--,l& & build+ sold 9 ! same ye> 7#a7 ,fair m>ket value (! build+ :5 y 4pos$ ( x """""""""""""""" 4#---- 7#b7 ,fair m>ket value (! l& j 2f y 4pos$ ( x """"""""""""""""""" 4#---- 7#c7 ,l9e #a .plus l9e #b """"""" 4#---- 7#d7 ,sell]'s adju/$ co/ base (! l& """"""""""""" 4#---- 7#e7 ,total capital ga9s 7)\t res]ves7 f any 4posi;n (! l& 7s* z a *ange 9 use7 9 ! ?ree- ye> p]iod 2f y 4pos$ (! build+ 70y1 or a p]son n d1l+ at >m's l5g? ) y1 6y or 6ano!r p]son n d1l+ at >m's l5g? ) y7 4#---- 7#f7 ,l9e #d .m9us l9e #e 7if negative1 5t] 8#j07 4#---- #bbc ,*apt] #d a#ci 7#g7 ,l9e #b or l9e #f1 :i*"e am.t is less """""""""""" 4#---- 7#h7 ,l9e #c .m9us l9e #g 7if negative1 5t] 8#j07 """"""""""" 4#---- 7#i7 ,co/ am.t (! build+ j 2f y 4pos$ ( x """"""""" 4#---- 7#aj7 ,capital co/ (! build+ j 2f y 4pos$ ( x 4#---- 7#aa7 ,l9e #i or l9e #aj1 :i*"e am.t is less """"" 4#---- 7#ab7 ,l9e #a or l9e #aa1 :i*"e am.t is m """"""""""""""" 4#---- ,deem$ proce$s ( 4posi;n =! build+ 7#ac7 ,l9e #h or l9e #ab1 :i*"e am.t is less 75t] ? am.t 9 column #c ( ,>ea ;,e & 9 column #d ( ,>ea ;,a on ,=m ,t#babe7 4#---- ,deem$ proce$s ( 4posi;n =! l& 7#ad7 ,proce$s ( 4posi;n (! l& & build+ """""""""""""""""""""""" 4#---- 7#ae7 ,am.t f l9e #ac """"""""""" 4#---- #bbd ,*apt] #d b#ci 7#af7 ,l9e #ad .m9us l9e #ae 75t] ? am.t on l9e #iibd ( ,>ea ;,f on yr =m7 """"""""""""""""""""" 4#---- ,if y h a t]m9al loss on ! build+1 9clude x on l9e #ibgj1 8,o!r exp5ses10 9 ,"p #e on yr ,=m ,t#babe4 ,calcul,n ;,b--,l& & build+ sold 9 di6]5t ye>s 7#a7 ,co/ am.t (! build+ j 2f y 4pos$ ( x """"""""" 4#---- 7#b7 ,fair m>ket value (! build+ j 2f y 4pos$ ( x 4#---- 7#c7 ,l9e #a or l9e #b1 :i*"e am.t is m """"""""""""""" 4#---- 7#d7 ,actual proce$s ( 4posi;n1 if any """""""""""""""""""""""" 4#---- 7#e7 ,l9e #c .m9us l9e #d """"""" 4#---- 7#f7 ,l9e #e 4#---- "ts "o-half 4#---- 7#g7 ,am.t f l9e #d """"""""""""" 4#---- #bbe ,*apt] #d c#ci ,deem$ proce$s ( 4posi;n =! build+3 ,l9e #f plus l9e #g 7#h7 ,5t] ? am.t 9 column #c ( ,>ea ;,e & 9 column #d ( ,>ea ;,a4 """""""""""""""""""""""""" 4#---- ,if y h a t]m9al loss on ! build+1 9clude x on l9e #ibgj1 8,o!r exp5ses10 9 ,"p #e on yr ,=m ,t#babe4 ,ord9>ily1 y c deduct ! full am.t (a t]m9al loss b only "p (a capital loss4 ,calcul,n ;,b 5sures t y use ! same factor 6calculate a t]m9al loss on a build+ z y use 6calculate a capital loss on l&4 ,z a result ( ? calcul,n1 y add "p (! am.t on l9e #e 6! actual proce$s ( 4posi;n f ! build+4 ,if y h a t]m9al loss1 r1d 8,t]m9al loss0 on page #cb4 -------------------------------------#dj ,replace;t prop]ty ,9 a few cases1 y c po/p"o or def] a4+ a capital ga9 or recapture ( #bbf ,*apt] #d a#dj ,,cca 69come4 ,y mi "o1 or yr prop]ty mi "o4 ,y c def] tax on ! sale proce$s1 : y re9ve/ 9 replace;t prop]ty )9 a r1sona# p]iod ( "t4 ,6def] report+ ! capital ga9 or recapture ( ,,cca1 y m/ acquire & y1 or a p]son relat$ 6y1 m/ use ! new prop]ty =! same or simil> purpose z ! "o t y >e replac+4 ,if y ne$ m details1 see ,9t]pret,n ,bullet9 ,,it-#bei1 ,ex*ange ( ,prop]ty1 & ,9t]pret,n ,bullet9 ,,it-#dia1 ,=m] ,busi;s ,prop]ty1 & xs ,special ,rel1se4 ,y c al def] a capital ga9 or recapture ( ,,cca :5 y transf] prop]ty 6a corpor,n or a "pn]%ip4 ,= m 9=m,n1 see3 --,9=m,n ,circul> ,,ic#gf-ai1 ,transf] ( ,prop]ty 6a ,corpor,n ,"u ,sec;n #he2 #bbg ,*apt] #d b#dj --,9t]pret,n ,bullet9 ,,it-#bia1 ,transf] ( ,prop]ty 6a ,corpor,n ,"u ,subsec;n #he7#a72 --,9t]pret,n ,bullet9 ,,it-#cgh1 ,w9d+-up (a ,"pn]%ip2 & --,9t]pret,n ,bullet9 ,,it-#dac1 ,elec;n 0,memb]s (a ,"pn]%ip ,"u ,subsec;n #ig7#b74 ,! foll[+ example summ>iz$ ? *apt]4 -------------------------------------#da ,example ,:5 ,ca?y b"\ h] new c> 9 ,may #bjji1 x co/ 4#af1jjj 9clud+ all *>ges & taxes4 ,s9ce ! co/ (! c> 0 4#cj1jjj or less1 %e 9cludes ! c> 9 ,class #aj4 ,%e 0 all[$ a 4#a1jjj cr$it :5 %e trad$ 9 h] old c> 7: 0 al 9 ,class #aj74 ,h] ,,ucc on ! old c> at ! />t ( #bjji 0 4#a1jjj4 ,ca?y "ks t h] p]sonal use (! c> w v>y ea* ye>4 ,ca?y has a desk1 calculator1 fil+ cab9ets1 & %elves 9 h] /ore4 ,^! >e ,class #h deprecia# prop]ties4 #bbh ,*apt] #d a#da ,! ,,ucc ( ^! prop]ties at ! />t ( #bjji is 4#e1jjj4 ,%e did n buy any ,class #h prop]ties 9 #bjji4 ,"!=e1 %e -pletes ,=m ,t#babe z foll[s3 ,>ea ;,a--,calcul,n ( capital co/ all[.e 7,,cca7 claim ,transcrib]'s note3 7,! foll[+ *>t is set up 9 t5 columns4 ,! columns >e labell$ z foll[s3 7#a7 ,class numb] 7#b7 ,undepreciat$ capital co/ 7,,ucc7 at ! />t (! ye> 7#c7 ,co/ ( a4i;ns 9 ! ye> 7see ,>1s ;,b & ;,c 2l7 7#d7 ,proce$s ( 4posi;ns 9 ! ye> 7see ,>1s ;,d & ;,e 2l7 7#e7 99 ,,ucc af a4i;ns & 4posi;ns 7col4 #b .plus col4 #c .m9us col4 #d7 #bbi ,*apt] #d b#da 7#f7 ,adju/;t = curr5t ye> a4i;ns 7"o- half multipli$ by 7col4 #c .m9us col4 #d77 ,if negative1 5t] 8#j0 7#g7 ,base am.t = ,,cca 7col4 #e .m9us col4 #f7 7#h7 ,rate @3p 7#i7 ,,cca =! ye> 7col4 #g multipli$ 0col4 #h or an adju/$ am.t7 7#aj7 ,,ucc at ! 5d (! ye> 7col4 #e .m9us col4 #i77 7#a7 ,class #aj 7#b7 ,/>t ( ye> 4#a1jjj 7#c7 ,a4i;ns 4#af1jjj 7#d7 ,4posi;ns 4#a1jjj 7#e7 99 ,a4i;ns & 4posi;ns 7,col4 #b .plus col4 #c .m9us col4 #d7 4#af1jjj 7#f7 ,adju/;t 7"o-half multipli$ by 7col4 #c .m9us col4 #d74 ,if negative1 5t] 8#j0 4#g1ejj 7#g7 ,base am.t 7col4 #e .m9us col4 #f7 4#h1ejj #bcj ,*apt] #d c#da 7#h7 ,rate #cj@3p 7#i7 ,,cca 7col4 #g multipli$ 0col4 #h1 or an adju/$ am.t7 4#b1eej 7#aj7 ,5d ( ye> 7col4 #e .m9us col4 #i7 4#ac1dej 7#a7 ,class #h 7#b7 ,/>t ( ye> 4#e1jjj 7#c7 ,a4i;ns 4#---- 7#d7 ,4posi;ns 4#---- 7#e7 99 ,a4i;ns & 4posi;ns 7,col4 #b .plus col4 #c .m9us col4 #d7 4#e1jjj 7#f7 ,adju/;t 7"o-half multipli$ by 7col4 #c .m9us col4 #d74 ,if negative1 5t] 8#j0 4#---- 7#g7 ,base am.t 7col4 #e .m9us col4 #f7 4#e1jjj 7#h7 ,rate #bj@3p 7#i7 ,,cca 7col4 #g multipli$ 0col4 #h1 or an adju/$ am.t7 4#a1jjj ..,total ,,cca claim =! .ye> 75t] ? am.t1 .m9us any p]sonal "p & any ,,cca = busi;s-use-(-home exp5ses1 on #bca ,*apt] #d d#da l9e #iicf 9 ,"p #e on page #b7 9999 7add all am.ts "u column #i7 4#c1eej 7#aj7 ,5d ( ye> 7col4 #e .m9us col4 #i7 4#d1jjj 99 ,if y h a negative am.t 9 ? column1 add x 69come z a recapture on l9e #hbcj1 8,o!r 9come10 9 ,"p #c on page #a4 ,if no prop]ty is left 9 ! class & "! is a positive am.t 9 ! column1 deduct ! am.t f 9come z a t]m9al loss on l9e #ibgj1 8,o!r exp5ses10 9 ,"p #e on page #b4 ,recapture & t]m9al loss d n apply 6a class #aj.a prop]ty4 ,= m 9=m,n1 see ,*apt] #d ( ,guide ,t#djjb1 ,busi;s & ,profes.nal ,9come4 9999 ,= 9=m,n on ! ,,cca = 8,calcul,n ( busi;s-use-(-home exp5ses10 on page #c1 see 8,special ,situ,ns0 9 ,*apt] #d ( ,guide ,t#djjb1 ,busi;s & ,profes.nal ,9come4 #bcb ,>ea ;,b--,details ( e#da equip;t a4i;ns 9 ! ye> ,transcrib]'s note3 7,! foll[+ is set up 9 five columns47 7#a7 ,class numb] #aj 7#b7 ,prop]ty details ,pass5g] ,vehicle 7#c7 ,total co/ 4#af1jjj 7#d7 ,p]sonal "p 7if applica#7 ,v>ies 7#e7 ,busi;s "p 7column #c .m9us column #d7 4#af1jjj 7#iibe7 ,total equip;t a4i;ns 9 ! ye> 7add all am.ts 9 column #e7 4#af1jjj ,>ea ;,d--,details ( equip;t 4posi;ns 9 ! ye> ,transcrib]'s note3 7,! foll[+ is set up 9 five columns47 7#a7 ,class numb] #aj 7#b7 ,prop]ty details ,pass5g] ,vehicle #bcc ,*apt] #d f#da 7#c7 ,proce$s ( 4posi;n 7%d n 2 m ?an ! capital co/7 4#a1jjj 7#d7 ,p]sonal "p 7if applica#7 ,n/,a 7#e7 ,busi;s "p 7column #c .m9us column #d7 4#a1jjj 7#iibf7 ,total equip;t 4posi;ns 9 ! ye> 7add all am.ts 9 column #e7 4#a1jjj ,note3 ,if y 4pos$ ( prop]ty f yr busi;s 9 ! ye>1 see ,*apt] #d ( ,guide ,t#djjb1 ,busi;s & ,profes.nal ,9come1 = 9=m,n ab yr proce$s ( 4posi;n4 ,s9ce ,ca?y us$ ! c> "ply = p]sonal use1 %e calculates ! am.t 69clude on l9e #iicf = h] c> z foll[s3 #be1jjj 7busi;s kilometres7 divid$ 0#cj1jjj 7total kilometres multipli$ 04#b1eej equals 4#b1abe ,! mo/ t ,ca?y c claim = ,,cca = #bjji is 4#b1abe = h] c> & 4#a1jjj =! #bcd ,*apt] #d g#da ,class #h prop]ties4 ,%e wants 6claim ! mo/ ,,cca all[$ 6h] 9 #bjji4 ,%e 5t]s 4#c1abe on l9e #iicf 9 ,"p #e on page #b ( ,=m ,t#babe4 -------------------------------------#db ,summ>y ( ,*apt]s #b 6#d--,complet$ ,=m ,t#babe ,9 ? sec;n1 we summ>ize \r 4cus.n ab 9come1 exp5ses1 & capital co/ all[.e1 0%[+ y :at ! -plet$ ,=m ,t#babe wd look l = ,ca?y's busi;s & recapp+ ! 9=m,n we h s f>4 ,total sales 7does n 9clude ,,gst & ,,pst1 or ,,hst7 """ 4#ahi1jjj ,return$ items """"""""""""""""" 4#a1jjj ,9v5tory at ! />t ( h] #bjji fiscal p]iod """""""""""""""" 4#cf1ejj ,9v5tory at ! 5d ( h] #bjji fiscal p]iod """""""""""""""" 4#cj1jjj ,pur*ases 79clud+ freiies 7full & "p-"t employees7 """""""""""""""""" 4#ai1jjj ,travell+ 7except c>7 """""""""""" 4#cej ,utilities on /ore """"""""""""" 4#c1ejj -------------------------------------#dc ,"!=e1 ! calcul,n ( ,ca?y's net busi;s 9come on h] ,=m ,t#babe wd look l ?3 #bcf ,"p #a--,busi;s 9come a#dc #b4 ;,x ,if y h busi;s 9come1 tick ? box & -plete ? "p4 ..,d n -plete "ps #a & #b on ! same .=m4 7,a7 ,sales1 -mis.ns1 or fees 4#ahi1jjj .,m9us ,gds & s]vices tax/h>moniz$ sales tax 7,,gst & ,,pst7 or h>moniz$ sales tax 7,,hst7 7if 9clud$ 9 sales abv7 4#---- ,returns1 all[.es1 & 4c.ts 7if 9clud$ 9 sales abv7 """"""""" 4#a1jjj 7,b7 ,total (! abv two l9es """"""""""""""" 4#a1jjj 4#a1jjj 7,c7 .,adju/$ .gross .sales 7l9e ;,a .m9us l9e ;,b7 75t] ? am.t on l9e #hjjj 9 ,"p #c1 2l """"""""""""""" 4#ahh1jjj #bcg ,"p #c--,gross busi;s or b#dc profes.nal 9come 7,g7 & 7#hjjj7 ,adju/$ gross sales 7f l9e ;,c 9 ,"p #a7 or adju/$ profes.nal fees 7f l9e ;,f 9 ,"p #b7 """""""""" 4#ahh1jjj .,plus 7#hbij7 ,res]ves deduct$ la/ ye> """"" 4#---- 7#hbcj7 ,o!r 9come """" 4#---- 7,h7 .,total (! abv two l9es """""""""""" 4#---- "" 4#---- 7#hbii7 ,gross busi;s or profes.nal 9come 7l9e ;,g .plus l9e ;,h7 """"""""""""""""""""""" 4#ahh1jjj ,5t] ? am.t on ! appropriate l9e ( yr 9come tax & b5efit return3 busi;s on l9e #afb1 profes.nal on l9e #afd1 or -mis.n on l9e #aff #bch ,"p #d--,co/ ( gds sold & c#dc gross pr(it ,if y h busi;s 9come1 -plete ? "p4 ,5t] only ! busi;s "p (! co/s4 7,i7 ,gross busi;s 9come f l9e #hbii 9 ,"p #c on page #a "" 4#ahh1jjj 7#hcjj7 ,op5+ 9v5tory 79clude raw mat]ials1 gds 9 process1 & f9i%$ gds7 """""""""""""" 4#cf1ejj 7#hcbj7 ,pur*ases dur+ ! ye> 7net ( returns1 all[.es1 & 4c.ts7 """""""""" 4#hh1jjj 7#hcdj7 ,direct wage co/s """""""""""""""" 4#---- 7#hcfj7 ,subcontracts 4#---- 7#hdej7 ,o!r co/s """"" 4#---- .,total (! abv five l9es """"""""""""" 4#abd1ejj .,m9us #bci ,*apt] #d d#dc 7#hejj7 ,clos+ 9v5tory 79clude raw mat]ials1 gds 9 process1 & f9i%$ gds7 """""""""""""" 4#cj1jjj 7,j7 & 7#heah7 ..,co/ ( gds .sold """"""" 4#id1ejj 4#id1ejj 7#heai7 .,gross .pr(it 7l9e ;,i .m9us l9e ;,j7 """""""""""""" 4#ic1ejj -------------------------------------#dd ,"p #e--,net 9come 7loss7 2f adju/;ts 7,k7 ,gross pr(it f l9e #heai 9 ,"p #d abv1 or gross 9come f l9e #hbii 9 ,"p #c on page #a 4#ic1ejj .,exp5ses 75t] only ! busi;s "p7 7#heba7 ,adv]tis+ """"" 4#b1hjj 7#hebc7 ,m1ls & 5t]ta9;t 7all[a# "p only7 """""""""""""""""" 4#ej #bdj ,*apt] #d a#dd 7#heij7 ,bad debts """"" 4#---- 7#hfij7 ,9sur.e """"""" 4#a1fjj 7#hgaj7 ,9t]e/ """""""" 4#e1cjj 7#hgfj7 ,busi;s tax1 fees1 lic;es1 dues1 memb]%ips1 & subscrip;ns """"""""""" 4#eej 7#hhaj7 ,(fice exp5ses 4#b1gjj 7#hhaa7 ,supplies """""" 4#---- 7#hhfj7 ,legal1 a3.t+1 & o!r profes.nal fees """""""""""""""""" 4#gej 7#hhga7 ,manage;t & adm9i/r,n fees """"""" 4#---- 7#hiaj7 ,r5t """"""""" 4#aj1hjj 7#hifj7 ,ma9t5.e & repairs """"""""""""""" 4#hjj 7#ijfj7 ,sal>ies1 wages1 & b5efits 79clud+ employ]'s 3tribu;ns7 """"""""" 4#ai1jjj 7#iahj7 ,prop]ty taxes 4#---- #bda ,*apt] #d b#dd 7#ibjj7 ,travel 79clud+ transport,n fees1 a3ommod,ns1 & all[a# "p ( m1ls7 """"" 4#cej 7#ibbj7 ,teleph"o & utilities """"""""""" 4#c1ejj 7#ibbd7 ,fuel co/s 7except = motor vehicles7 """""""""""" 4#---- 7#ibge7 ,deliv]y1 freit ;,a on page #e7 """"""""" 4#c1abe 7#iice7 ,all[.e on eligi# capital prop]ty """""""""""""" 4#---- 7#iicf7 ,capital co/ all[.e 7,,cca7 7f ,>ea ;,a on page #d7 4#c1abe #bdb ,*apt] #d c#dd 7#ibgj7 ,o!r exp5ses 7specify7 ,3v5;n exp5ses """"""""""""""" 4#ejj 7,l7 & 7#icfh7 .,total .busi;s .exp5ses """ 4#ed1iej 4#ed1iej 7#icfi7 ..,net 9come 7loss7 2f .adju/;ts 7l9e ;,k .m9us l9e ;,l7 """""""""""""""""""""""" 4#ch1eej ,"p #f--,yr net 9come 7loss7 7,m7 ,yr %>e (! am.t on l9e #icfi 9 ,"p #e abv 4#ch1eej 7,n7 & 7#iigd7 .,plus3 ,,gst/,,hst rebate = "pn]s rcvd 9 ! ye> 7see ,*apt] #c7 """"""""""""" 4#---- 7,o7 ,total 7l9e ;,m .plus l9e ;,n7 """"""""""""""" 4#ch1eej """""""""""""""""""""""""""""" 4#ch1eej #bdc ,*apt] #d d#dd 7,p7 & 7#iidc7 .,m9us3 ,o!r am.ts deducti# f yr %>e ( net "pn]%ip 9come 7loss7 7f ! *>t on page #c7 """"""""""""""""""""""""""" 4#---- 7,q7 ..,net 9come 7loss7 af .adju/;ts 7l9e ;,o .m9us l9e ;,p7 """""""""""""""" 4#---- 7,r7 & 7#iide7 .,m9us3 ,busi;s-use-(-home exp5ses 7yr %>e ( l9e #c f ! *>t on page #c7 """"""""""" 4#---- 7#iidf7 ..,yr net 9come 7.loss7 7l9e ;,o .m9us l9e ;,p7 """""""""""""""""""" 4#ch1eej ,5t] ? am.t on ! appropriate l9e ( yr 9come tax & b5efit return3 busi;s on l9e #ace1 profes.nal on l9e #acg1 or -mis.n on l9e #aci #bdd ,,cca classes ( -monly us$ #de busi;s assets ,transcrib]'s note3 7,! foll[+ is set up 9 ?ree columns3 ,column #a3 ,class ,column #b3 ,rate 7@3p7 ,column #c3 ,descrip;n7 ,class3 #a ,rate 7@3p73 #d ,descrip;n3 ,mo/ build+s y b"\ af #aihg &! co/ ( c]ta9 a4i;ns or alt],ns made af #aihg4 ,! rate = eligi# non- resid5tial build+s acquir$ af ,m>* #ah1 #bjjg1 us$ =! manufactur+ & process+ 9 ,canada ( gds = sale or l1se 9cludes an a4i;nal all[.e ( #f@3p 7total #aj@3p74 ,= all o!r eligi# non- resid5tial build+s 9 ? class1 ! rate 9cludes an a4i;nal all[.e ( #b@3p 7total #f@3p74 ,6be eligi# =! a4i;nal all[.es1 elec;ns h 6be fil$4 ,= m 9=m,n1 r1d 8,class #a 7#d@3p70 on page #cc4 #bde ,*apt] #d a#de ,class3 #c ,rate 7@3p73 #e ,descrip;n3 ,mo/ build+s acquir$ 2f #aihh 7or #aiij1 subject 6c]ta9 3di;ns74 ,al 9clude ! co/ ( a4i;ns or alt],ns made af #aihg4 ,= m 9=m,n1 r1d 8,class #c 7#e@3p70 on page #cd4 ,class3 #f ,rate 7@3p73 #aj ,descrip;n3 ,frame1 log1 /u3o on frame1 galvaniz$ iron1 or corrugat$ metal build+s t meet c]ta9 3di;ns4 ,class #f al 9cludes c]ta9 f;es & gre5h\ses4 ,= m 9=m,n1 r1d 8,class #f 7#aj@3p70 on page #cd4 ,class3 #h ,rate 7@3p73 #bj ,descrip;n3 ,prop]ty t y use 9 yr busi;s t is n 9clud$ 9 ano!r class4 ,al 9clud$ is data net"w 9fra/ructure equip;t & sy/ems s(tw>e = t equip;t acquir$ 2f ,m>* #bc1 #bjjd4 #bdf ,*apt] #d b#de ,see al ,class #df4 ,= m 9=m,n1 r1d 8,class #h 7#bj@3p70 on page #cd4 ,class3 #aj ,rate 7@3p73 #cj ,descrip;n3 ,g5]al-purpose electronic data-process+ equip;t 7-monly call$ -put] h>dw>e7 & sy/ems s(tw>e = t equip;t acquir$ 2f ,m>* #bc1 #bjjd1 or af ,m>* #bb1 #bjjd1 & 2f #bjje if y made an elec;n4 ,motor vehicles1 automobiles1 & "s pass5g] vehicles4 ,al see ,class #aj.a4 ,= m 9=m,n1 r1d 8,class #aj 7#cj@3p70 on page #ce4 ,class3 #aj.a ,rate 7@3p73 #cj ,descrip;n3 ,a pass5g] vehicle n 9clud$ 9 ,class #aj4 ,= m 9=m,n1 r1d 8,class #aj.a 7#cj@3p70 on page #ce4 #bdg ,*apt] #d c#de ,class3 #ab ,rate 7@3p73 #ajj ,descrip;n3 ,"u propos$ *anges1 ! co/ limit = a3ess 6,class #ab 7#ajj@3p7 tr1t;t w 9cr1se 64#ejj f 4#bjj = tools acquir$ on or af ,may #b1 #bjjf1 & m$ical & d5tal 9/ru;ts & kit*5 ut5sils acquir$ on or af ,may #b1 #bjjf4 ,= m 9=m,n on o!r prop]ties1 r1d 8,class #ab 7#ajj@3p70 on page #ce4 ,class3 #ac ,descrip;n3 ,l1sehold 9t]e/--,y c claim ,,cca on a l1sehold 9t]e/1 b ! maximum rate dep5ds on ! type ( l1sehold 9t]e/ &! t]ms (! l1se4 ,class3 #ad ,descrip;n3 ,pat5ts1 fran*ises1 3ces.ns1 or lic;es =a limit$ p]iod4 ,yr ,,cca is :i*"e (! foll[+ am.ts is less3 --! total (! capital co/ ( ea* prop]ty spr1d \ ov] ! life (! prop]ty2 or #bdh ,*apt] #d d#de --! undepreciat$ capital co/ 6! taxpay] z (! 5d (! tax ye> ( prop]ty ( t class4 ,class3 #af ,rate 7@3p73 #dj ,descrip;n3 ,taxis1 vehicles y use 9 a daily c>-r5tal busi;s1 co9-op]at$ video games or p9ball ma*9es acquir$ af ,febru>y #ae1 #aihd1 & freie rat$ abv #aa1ghh kilograms4 ,class3 #ag ,rate 7@3p73 #h ,descrip;n3 ,roads1 p>k+ lots1 sidewalks1 airplane runways1 /orage >1s1 or simil> surface 3/ruc;n4 ,class3 #de ,rate 7@3p73 #de ,descrip;n3 ,g5]al-purpose electronic data-process+ equip;t 7-monly call$ -put] h>dw>e7 & sy/ems s(tw>e = #bdi ,*apt] #d e#de t equip;t acquir$ af ,m>* #bb1 #bjjd1 & 2f ,m>* #ai1 #bjjg4 ,= m 9=m,n1 r1d 8,class #de 7#de@3p70 on page #ce4 ,al see classes #aj1 #ej1 & #eb4 ,class3 #df ,rate 7@3p73 #cj ,descrip;n3 ,data net"w 9fra/ructure equip;t & sy/ems s(tw>e = t equip;t acquir$ af ,m>* #bb1 #bjjd1 7if acquir$ 2f ,m>* #bc1 #bjjd 9clude 9 ,class #h74 ,class3 #ej ,rate 7@3p73 #ee ,descrip;n3 ,g5]al-purpose electronic data-process+ equip;t 7-monly call$ -put] h>dw>e7 & sy/ems s(tw>e = t equip;t1 9clud+ ancill>y data-process+ equip;t acquir$ af ,m>* #ah1 #bjjg1 & n 9clud$ 9 ,class #bi or ,class #eb4 #bej ,*apt] #d f#de ,class3 #eb ,rate 7@3p73 #ajj ,descrip;n3 ,g5]al-purpose electronic data-process+ equip;t 7-monly call$ -put] h>dw>e7 & sy/ems s(tw>e = t equip;t1 9clud+ ancill>y data-process+ equip;t acquir$ af ,janu>y #bg1 #bjji1 & 2f ,febru>y #bjaa4 ,= m 9=m,n1 r1d 8,class #eb 7#ajj@3p70 on page #cf4 ,al see ,class #ej4 #bea #beb ,*apt] #e--,eligi# ,capital #df ,exp5ditures ,:at is an eligi# capital exp5diture8 ,y may buy prop]ty t does n physic,y exi/ b gives y a la/+ economic b5efit4 ,"s examples >e gdwill1 fran*ises1 3ces.ns1 or lic;es = an unlimit$ p]iod4 ,we call ? k9d ( prop]ty .eligi# .capital .prop]ty4 ,! price y pay 6buy ? type ( prop]ty is an .eligi# .capital .exp5diture4 ,fran*ises1 3ces.ns1 or lic;es )a limit$ p]iod >e 3sid]$ deprecia# prop]ties1 n eligi# capital prop]ties4 ,= details ab deprecia# prop]ties1 r1d ,*apt] #d 2g9n+ on page #bi4 ,:at is an annual all[.e8 ,y _c fully deduct an eligi# capital exp5diture 2c ! exp5diture is 3sid]$ 6be capital 9 nature & provides a #bec ,*apt] #e a#df la/+ economic b5efit4 ,h["e1 y c deduct "p ( xs co/ ea* ye>4 ,we call ! am.t y c deduct yr .annual .all[.e4 ,:at is a cumulative eligi# capital 7,,cec7 a3.t8 ,? is ! bookkeep+ record y e/abli% 6det]m9e yr annual all[.e4 ,y al use yr ,,cec a3.t 6keep track (! prop]ty y buy & sell4 ,we call ! prop]ty 9 yr ,,cec a3.t yr eligi# capital prop]ty4 ,y base yr annual all[.e on ! bal.e 9 yr a3.t at ! 5d ( yr fiscal p]iod4 ,keep a sep>ate a3.t = ea* busi;s1 b 9clude all eligi# capital prop]ty =! "o busi;s 9 ! same ,,cec a3.t4 #bed ,h[ 6calculate yr annual b#df all[.e ,,cec a3.t ,-plete ! foll[+ *>t 6calculate yr annual all[.e &! bal.e 9 yr ,,cec a3.t at ! 5d ( yr #bjji fiscal p]iod4 ,calculat+ yr annual all[.e & ,,cec a3.t bal.e at ! 5d ( yr #bjji fiscal p]iod 7#a7 ,bal.e 9 ! a3.t at ! />t ( yr #bjji fiscal p]iod """"""""" 4#---- 7#b7 ,eligi# capital exp5ditures y made or 9curr$ 9 yr #bjji fiscal p]iod 4#---- "ts #ge@3p 4#---- 7#c7 ,l9e #a .plus l9e #b """"""" 4#---- 7#d7 ,all ! am.ts y rcvd or >e 5titl$ 6rcv f ! sale ( eligi# capital prop]ty 9 yr #bjji fiscal p]iod """"""""""" 4#---- #bee ,*apt] #e c#df 7#e7 ,all ! am.ts t 2came receiva# 9 yr #bjji fiscal p]iod f ! sale ( eligi# capital prop]ties 2f ,june #ah1 #aihg """" 4#---- 7#f7 ,l9e #d .plus l9e #e 4#---- 7#g7 ,l9e #f multipli$ 0#ge@3p """"""""""""""""""""""" 4#---- 7#h7 ,,cec a3.t bal.e ,l9e #c .m9us l9e #g """""""""""""""""" 4#---- 7#i7 ,annual all[.e #g@3p multipli$ 0l9e #h """"""""""""" 4#---- 7#aj7 ,,cec a3.t bal.e at ! 5d ( yr #bjji fiscal p]iod ,l9e #h .m9us l9e #i """""""""""""""""" 4#---- ,note ,an eligi# capital exp5diture is reduc$ 0! am.t ( any assi/.e rcvd or receiva# f a gov]n;t =! exp5diture4 ,al1 an am.t =giv5 7or 5titl$ 6be =giv57 on gov]n;t debt reduces yr ,,cec a3.t4 ,special 3di;ns may apply 6non->m's l5g? transac;ns4 ,= #bef ,*apt] #e d#df a4i;nal 9=m,n1 see ,9t]pret,n ,bullet9 ,,it-#abc1 ,transac;ns ,9volv+ ,eligi# ,capital ,prop]ty4 ,y c deduct an annual all[.e if "! is a .positive bal.e 7l9e #h7 9 yr ,,cec a3.t at ! 5d ( yr #bjji fiscal p]iod4 ,y d n h 6claim ! full am.t (! maximum annual all[.e =a giv5 ye>4 ,y c deduct any am.t y want1 up 6! maximum all[a# ( #g@3p4 ,if yr fiscal p]iod is less ?an #cfe "ds1 y h 6prorate yr claim4 ,base yr claim on ! numb] ( "ds 9 yr fiscal p]iod -p>$ 6#cfe "ds4 ,if "! is a .negative bal.e 9 yr ,,cec a3.t1 r1d 8,sole proprietor--,sale ( eligi# capital prop]ty 9 ! #bjji fiscal p]iod0 on page #dg & 8,"pn]%ip--,sale ( eligi# capital prop]ty 9 ! #bjji fiscal p]iod0 on page #dh4 ,! foll[+ is an example ( h[ 6calculate ! maximum annual all[.e & a3.t bal.e4 #beg ,*apt] #e #dg ,example ,c>lo />t$ a busi;s on ,janu>y #a1 #bjji4 ,c>lo's busi;s has a ,decemb] #ca ye>-5d4 ,dur+ #bjji1 he b"\ a fran*ise = 4#af1jjj4 ,he calculates 8 maximum annual all[.e ( 4#hdj = #bjji z foll[s3 ,c>lo's ,,cec a3.t 7#a7 ,bal.e at ! />t ( ,c>lo's #bjji fiscal p]iod """"""""""""""" 4#j 7#b7 ,c>lo's eligi# capital exp5diture3 fran*ise co/ =! #bjji fiscal p]iod 4#af1jjj multipli$ 0#ge@3p """""""""""" #ab1jjj 7#c7 ,l9e #a .plus l9e #b """"" 4#ab1jjj ,c>lo has n sold any eligi# capital prop]ty dur+ ! #bjji fiscal p]iod4 ,"!=e1 he w n h any am.ts on l9es #d 6#h4 #beh ,*apt] #e a#dg 7#i7 ,c>lo's maximum annual all[.e on eligi# capital prop]ty is #g@3p multipli$ 0l9e #c """""""""""""""""""""""" 4#hdj 7#aj7 ,bal.e at ! 5d ( #bjji 7l9e #c .m9us l9e #i7 """"""" 4#aa1afj ,sole proprietor--,sale ( eligi# capital prop]ty 9 ! #bjji fiscal p]iod ,:5 y sell eligi# capital prop]ty1 y h 6subtract "p (! proce$s ( 4posi;n f yr ,,cec a3.t4 ,y h 6d ? calcul,n if y sold eligi# capital prop]ty3 --in yr #bjji fiscal p]iod2 or --2f ,june #ah1 #aihg1 &! proce$s ( 4posi;n 2come due 6y 9 yr #bjji fiscal p]iod4 ,= #bjji1 ! am.t y h 6subtract is #ge@3p (! .total ( ^! am.ts3 #bei ,*apt] #e b#dg --! proce$s ( 4posi;n ( all ! eligi# capital prop]ty y sell 9 yr #bjji fiscal p]iod2 & --! am.t ( any proce$s t 2come due 6y 9 yr #bjji fiscal p]iod f eligi# capital prop]ty y sold 2f ,june #ah1 #aihg4 ,"! may 2 a negative am.t 7excess7 9 yr ,,cec a3.t af y subtract ! requir$ am.t4 ,9 ? case1 y w h 69clude "p (! negative am.t 9 yr busi;s 9come4 ,multiply 0two-?ird ! "p (! negative am.t 9 yr ,,cec a3.t t exce$s ! annual all[.es deduct$4 ,6t result1 add :i*"e is less1 ! excess or annual all[.es deduct$4 ,? is ! am.t 69clude 9 yr busi;s 9come4 ,! foll[+ example %[s h[ 6calculate ! am.t 69clude 9 yr busi;s 9come4 ,example ,lisa />t$ h] busi;s on ,janu>y #a1 #bjjc1 )a .,decemb] .#ca .ye>-5d4 ,9 #bjjc1 ,lisa b"\ a cli5t li/ = #bfj ,*apt] #e c#dg 4#aj1jjj4 ,lisa sold h] busi;s on ,septemb] #a1 #bjji4 ,%e sold h] cli5t li/ = 4#ae1jjj & %e does n h any o!r eligi# capital prop]ty 9 h] busi;s4 ,%e deduct$ annual all[.es ea* ye> z foll[s3 #bjjc "" 4#ebe #bjjd "" 4#dhh #bjje "" 4#ded #bjjf "" 4#dbb #bjjg "" 4#cic #bjjh "" 4#cfe .,total 4#b1fdg ,! am.t 69clude 9 ,lisa's busi;s 9come is calculat$ z foll[s3 ,calcul,n ( am.t ;,a3 ,excess am.t calculat$ z foll[s3 ,proce$s ( 4posi;n "ts #ge@3p 4#ae1jjj multipli$ 0#ge@3p "" 4#aa1bej .,plus3 #bfa ,*apt] #e d#dg 7;i7 ,total annual all[.es deduct$ """""""""""""""""""" 4#b1fdg """""""""""""""""""""""""""" 4#ac1hig .,m9us3 ,eligi# capital exp5ditures "ts #ge@3p 4#aj1jjj multipli$ 0#ge@3p """ 4#g1ejj 7;ii7 ,excess am.t """"""""""" 4#f1cig 7,a7 ,! .less] .( 7;i7 or 7;ii73 """"""""""""""""""""" 4#b1fdg ,calcul,n ( am.t ;,b3 ,excess am.t """"""""""""""""" 4#f1cig .,m9us3 ,total annual deduc;ns tak5 "" 4#b1fdg 7,b7 """"""""""""""""""""""""" 4#c1gej ,calcul,n ( am.t ;,c3 7,c7 ,l9e ;,b "ts #b divid$ 0#c """""""""""""""""""""""" 4#b1ejj #bfb ,*apt] #e e#dg ,taxa# am.t f ! sale ( cli5t li/3 ,l9e ;,a .plus l9e ;,c """"""" 4#e1adg ,lisa 9cludes 4#e1adg on l9e #hbcj1 8,o!r 9come10 9 ,"p #c on page #a ( ,=m ,t#babe4 -------------------------------------#dh ,"pn]%ip--,sale ( eligi# capital prop]ty 9 ! #bjji fiscal p]iod ,:5 ! "pn]%ip sells eligi# capital prop]ty1 x has 6subtract "p (! proce$s ( 4posi;n f xs ,,cec a3.t4 ,! "pn]%ip has 6d ? calcul,n if x sold eligi# capital prop]ty3 --in xs #bjji fiscal p]iod2 or --2f ,june #ah1 #aihg1 &! proce$s ( 4posi;n 2come due 9 xs #bjji fiscal p]iod4 ,= #bjji1 ! am.t ! "pn]%ip has 6subtract is #ge@3p (! .total ( ^! am.ts3 #bfc ,*apt] #e a#dh --! proce$s ( 4posi;n ( all ! eligi# capital prop]ty ! "pn]%ip sells 9 xs #bjji fiscal p]iod4 ,! total proce$s ( 4posi;n h 6be 9clud$ ev5 if ! "pn]%ip w n rcv ! 5tire am.t 9 #bjji2 & --! am.t ( any proce$s t 2come due 9 ! "pn]%ip's #bjji fiscal p]iod f eligi# capital prop]ty x sold 2f ,june #ah1 #aihg4 ,! "pn]%ip's ,,cec a3.t may h a negative am.t 7excess7 af x subtracts ! requir$ am.t4 ,9 ? case1 ! "pn]%ip w h 69clude "p (! negative am.t 9 xs busi;s 9come4 ,multiply 0two-?ird ! "p (! negative am.t 9 ! "pn]%ip ,,cec a3.t t exce$s ! annual all[.es deduct$4 ,6t result1 add ! .less] .(! excess & annual all[.es deduct$4 ,? is ! am.t 69clude 9 ! "pn]%ip busi;s 9come4 ,! next example %[s h[ 6calculate ! am.t 69clude 9 yr busi;s 9come4 #bfd ,*apt] #e b#dh ,! "pn]%ip has 69clude ! busi;s 9come t results f ! sale (! eligi# capital prop]ty on l9e #hbcj1 8,o!r 9come10 9 ,"p #c on page #a ( ,=m ,t#babe4 ,if y1 z a "pn] 9 ! "pn]%ip1 _h made ! capital ga9s elec;n 0fil+ ,=m ,t#ffd1 ,elec;n 6,report a ,capital ,ga9 on ,prop]ty ,[n$ at ! 5d ( ,febru>y #bb1 #aiid1 ) yr #aiid 9come tax return = yr "pn]%ip 9t]e/1 y wd h report$ ! capital ga9 a3ru$ 6,febru>y #bb1 #aiid4 ,9 ? case1 ! adju/$ co/ base ( yr "pn]%ip 9t]e/ has n *ang$ z a result (! elec;n4 ,r1 y h cr1t$ a special a3.t call$ yr ..exempt capital ga9s bal.e 7.,,ecgb74 ,yr ,,ecgb expir$ af #bjjd4 ,if y did n use all ( yr ,,ecgb 0! 5d ( #bjjd1 y c add ! unus$ bal.e 6! adju/$ co/ base ( yr %>es (1 or 9t]e/ in1 ! fl[-"? 5t;y4 ,example ,y & yr "pn] h op]at$ a teleph"o sales busi;s s9ce ,janu>y #a1 #aiid4 ,yr "pn]%ip agree;t /ates t y & yr #bfe ,*apt] #e c#dh "pn] w %>e ! busi;s pr(its equ,y4 ,! busi;s has a .,decemb] .#ca .ye>-5d4 ,y & yr "pn] pd a total ( 4#aj1jjj =a cli5t li/ :5 y />t$ ! busi;s4 ,! busi;s has no o!r eligi# capital prop]ty4 ,y & yr "pn] sell ! busi;s on ,septemb] #a1 #bjji4 ,! proce$s ( 4posi;n (! cli5t li/ >e 4#ae1jjj4 ,z a "pn] (! "pn]%ip1 y made ! capital ga9s elec;n 9 #aiid on yr "pn]%ip 9t]e/ & yr curr5t exempt capital ga9s bal.e 7,,ecgb7 is nil4 ,9 previ\s ye>s1 ! "pn]%ip claim$ 4#b1fdg z annual all[.es on eligi# capital prop]ty4 ,calcul,n ( am.t 69clude 9 busi;s 9come--,sale ( cli5t li/ on ,septemb] #a1 #bjji ,! am.t 69clude 9 ! "pn]%ip's busi;s 9come is calculat$ z foll[s3 #bff ,*apt] #e d#dh ,calcul,n ( am.t ;,a3 ,! .less] .( 7;i7 or 7;ii73 ,actual proce$s ( 4posi;n "ts #ge@3p 4#ae1jjj multipli$ 0#ge@3p "" 4#aa1bej .,plus3 7;i7 ,total annual all[.es deduct$ """""""""""""""""""" 4#b1fdg """"""""""""""""""""""""""""" #ac1hig .,m9us3 7,eligi# capital exp5ditures plus ,,ecgb7 99 "ts #ge@3p 4#aj1jjj multipli$ 0#ge@3p """ 4#g1ejj 7;ii7 ,excess am.t """"""""""" 4#f1cig 7,a7 ,! .less] .( 7;i7 or 7;ii7 """""""""""""""""""""" 4#b1fdg ,calcul,n ( am.t ;;,b3 ,excess am.t """"""""""""""""" 4#f1cig .,m9us3 7,b7 ,total annual all[.es deduct$ """""""""""""""""""" 4#b1fdg """"""""""""""""""""""""""""" 4#c1gej #bfg ,*apt] #e e#dh ,calcul,n ( am.t ;;,c3 7,c7 ,l9e ;,b "ts #b divid$ 0#c """""""""""""""""""""""" 4#b1ejj ,taxa# am.t f sale ( cli5t li/3 ,l9e ;,a plus l9e ;,c """""""" 4#e1adg ,ac 6? example1 y %d 9clude 4#e1adg on l9e #hbcj1 8,o!r 9come10 on ,=m ,t#babe4 99 ,! am.t ( ,,ecgb us$ 9 ? calcul,n ref]s 6any bal.e / 9 ? a3.t af ,decemb] #ca1 #bjjd4 -------------------------------------#di ,elec;n ,"u c]ta9 3di;ns1 y c elect 6tr1t ! 4posi;n ( an eligi# capital prop]ty 7o!r ?an gdwill7 z a regul> capital ga94 ,= example1 prop]ties s* z a fran*ise1 3ces.n1 or lic;e t has an unlimit$ life may qualify = ? elec;n4 ,0elect+1 y deem 6remove ! prop]ty f yr ,,cec a3.t = proce$s equal 6xs orig9al co/4 #bfh ,*apt] #e a#di ,y c !n dcl a capital ga9 equal 6yr actual proce$s ( 4posi;n m9us ! co/ ( acquisi;n4 ,report ! details on ! 8,r1l e/ate1 deprecia# prop]ty & o!r prop]ties0 l9e ( ,s*$ule #c1 ,capital ,ga9s 7or ,losses7 9 #bjji4 ,? elec;n w b5efit y if y h unus$ capital losses 6apply ag/ ! capital ga94 ,! elec;n is availa# if y meet ! foll[+ 3di;ns3 --y 4pos$ ( an eligi# capital prop]ty o!r ?an gdwill2 --! co/ (! eligi# capital prop]ty c 2 det]m9$2 --! proce$s ( 4posi;n exce$ ! co/2 & --y d n h an exempt ga9s bal.e4 ,file yr elec;n 0atta*+ a note 6yr 9come tax return4 ,replace;t prop]ty ,if y sell an eligi# capital prop]ty & replace x ) ano!r "o =! same or simil> use1 y c *oose 6po/p"o all or "p #bfi ,*apt] #e b#di ( any ga9 on ! sale4 ,? happ5s if y acquire a replace;t eligi# capital prop]ty )9 a c]ta9 p]iod ( "t4 ,6d ?1 y h 6replace ! prop]ty no lat] ?an "o ye> af ! 5d (! tax ye> 9 : y sell ! orig9al prop]ty4 ,= m details1 see ,9t]pret,n ,bullet9 ,,it-#bei1 ,ex*ange ( ,prop]ty4 ,= m 9=m,n ab eligi# capital exp5ditures1 see ,9t]pret,n ,bullet9 ,,it-#abc1 ,transac;ns ,9volv+ ,eligi# ,capital ,prop]ty1 & ,9t]pret,n ,bullet9 ,,it-#adc1 ,m1n+ ( ,eligi# ,capital ,exp5diture4 #bgj ,app5dix--,9du/ry ,codes #ej ,profes.ns ,>*itect 7except l&scape7 #edacaj ,>*itect 7l&scape7 #edacbj ,bookkeep+ s]vices #edabae ,*>t]$ or c]tifi$ a3.tant #edabab ,d5ti/ #fbabaj ,5g9e] #edaccj ,lawy] #edaaaj ,not>y 7,quebec only7 #edaabj ,physician 7g5]al practice71 surgeon1 or speciali/ #fbaaaj ,psy*ologi/ #fbaccj ,vet]9>ian #edaidj ,o!r h1l? practi;n] #fbacij ,o!r legal s]vices 79clud+ not>ies \tside ,quebec7 #edaaij ,o!r profes.nal1 sci5tific1 or te*nical s]vices #edajjj ,o!r social s]vice practi;n] #fbdjjj ,onl9e f9ancial & 9ve/;t advice #ebciii ,o!r onl9e advice & c\nsell+ #edaiii #bga ,s]vices a#ej ,agricultural or animal s]vices ,animal specialty or live/ock s]vices #aaebaj ,crop s]vices #aaeaaj ,o!r agricultural s]vices #aaejjj ,transport,n or /orage ,air transport #dhajjj ,bus transport 7s*ool or employee7 #dhedaj ,9t]urban & rural transit #dhebaj ,/orage or w>eh\s+ #dicajj ,taxi #dhecaj ,truck transport #dhdjjj ,urban transit #dheaaj ,wat] transport #dhcjjj ,o!r transport,n s]vice #dhjjjj ,-munic,ns or utilities ,c\ri] s]vices #dibaaj ,fly] deliv]y #edahgj ,po/al s]vices #diaaaj #bgb ,app5dix b#ej ,public utilities #bbajjj ,telecommunic,ns #eagjjj ,f9.e1 9sur.e1 or r1l e/ate ,f9ancial s]vices 7exclud+ banks & f9.e -panies7 #ebcjjj ,9sur.e ag5t or brok] 79dep5d5t7 #ebdbaj ,9sur.e -pany #ebdajj ,lessors ( non-resid5tial build+s 7except m9i-w>eh\ses7 #ecaabj ,lessors ( o!r r1l e/ate prop]ty #ecaaij ,lessors ( resid5tial build+s & dwell+s #ecaaaa ,lessors ( self-/orage m9i-w>eh\ses #ecaacj ,lessors ( social h\s+ projects #ecaaab ,r1l e/ate ag5ts #ecabaa ,r1l e/ate brok]s #ecabab ,(fices ( r1l e/ate apprais]s #ecacbj ,r1l e/ate prop]ty manag]s #ecacaj ,o!r activities relat$ 6r1l e/ate #ecacij #bgc ,app5dix c#ej ,busi;s s]vices ,adv]tis+ #edahjj ,-put] programm] or analy/ #edaeaj ,3sult,n--5viron;t #edafbj ,3sult,n--manage;t #edafaj ,3sult,n--sci;e & te*nology #edafij ,data process+1 /or+1 & relat$ s]vices #eahbaj ,employ;t ag5cy #efacjj ,ext]m9ators1 janitors1 & *imney cl1n]s #efagjj ,9t]net s]vice & se>* 5g9e suppli]s #eahaaj ,publi%+ #eaajjj ,o!r busi;s s]vices #efajjj ,onl9e busi;s s]vices #efaiii ,h1l? or social s]vices ,babysitt+ or *-c>e 7yr [n home7 #fbddaj ,$uc,nal s]vices #fajjjj ,h1l? or social s]vices 7o!r ?an * c>e7 #fbjjjj ,tutors #faafij #bgd ,app5dix d#ej ,5t]ta9;t or recre,n ,ag5ts & repres5tatives-->ti/s1 a?letes1 & o!r public figures #gaadaj ,5t]ta9;t or /age -pany #gaaajj ,film or video produc;n s]vices #eabaaj ,9dep5d5t a?letes & tra9]s 7coa*7 #gaabah ,9dep5d5t >ti/s1 au?ors1 & 9t]pret]s 7p]=m]s7 #gaaeaj ,movie or mo;n picture film pres5t] #eabacj ,sports promot] #gaacai ,sports t1ms & clubs #gaabaa ,ski facilities1 golf c\rses1 m>9as1 b[l+ c5tres1 & fit;s c5tres #gacijj ,o!r amuse;ts or recre,n #gajjjj ,onl9e adult 5t]ta9;t 9clud+ gambl+ & pornography #eaiacj ,onl9e psy*ic1 escorts1 dat+1 "py plann+1 p]sonal %opp+ #habiij #bge ,app5dix e#ej ,a3ommod,n1 food1 or b"eage s]vices ,b$ & br1kfa/1 cab9s1 & t\ri/ rooms #gbaaij ,campgr.ds1 hunt+1 fi%+1 & vac,n camps #gbabaj ,cante5s1 mobile food s]vices #gbbccj ,cat]+ #gbbcbj ,full-s]vice re/aurant #gbbaaj -------------------------------------#ea ,hotel1 motor-hotel1 motel1 or resort #gbaaaj ,limit$ s]vice re/aurant1 take-\1 & drive-in #gbbbaj ,room+ & bo>d+ h\ses #gbacaj ,tav]n1 b>1 or ni wa%es #haaaib ,furniture ref9i%+ or repair+ #haadbj ,g5]al automotive repair #haaaaa #bgf ,app5dix a#ea ,home & g>d5 equip;t & appli.es repair & ma9t5.e #haadaj ,%oe repair %ops #haadcj ,,tv1 radio1 /]eo1 -put]1 or cam]a repairs #haabaj ,o!r repairs #haajjj ,p]sonal or h\sehold s]vices ,b>b] or b1uty %op #habaaj ,c>pet cl1n+ s]vice #efagdj ,fun]al s]vices #habbjj ,home cl1n+ s]vices #efagbb ,homemak] s]vices #fbdabj ,laundry or dry cl1n+ #habcjj ,o!r p]sonal or h\sehold s]vices #hajjjj ,o!r s]vices ,busi;s1 religi\s1 or social organiz,n #hacjjj ,janitorial s]vices 7except w9d[ cl1n+7 #efagbb ,ma*9e or equip;t r5tal l1s+ #ecbjjj #bgg ,app5dix b#ea ,miscellane\s build+ or dwell+ s]vices #efagjj ,photography #edaibj ,travel s]vices #efaeaj ,vehicle r5tal or l1s+ #ecbaaj ,sales ,h\sehold gds /ores ,appli.es1 ,,tv1 radio1 or /]eo repairs #ddcaaj ,-put] & s(tw>e sales #ddcabj ,h\sehold a3essories #ddbbjj ,h\sehold furniture & appli.es #ddbaaj ,food or b"eage /ores ,bak$ gds1 c&y1 or nuts #ddebij ,be]1 w9e1 or liquor #ddecaj ,3v5i;e /ores #ddeabj ,groc]ies 7except 3v5i;e /ores7 #ddeaaj ,m1t1 fi%1 fruits1 or vegeta#s #ddebjj ,sup]m>ket #ddeaaj ,o!r food /ores #ddejjj #bgh ,app5dix c#ea ,automotive ,auto "ps or a3essories /ore #ddacaj ,automobile sales #ddaajj ,recre,nal vehicle sales #ddabaj ,s]vice /,n 7) 3v5i;e /ore7 #ddgaaj ,o!r s]vice /,n #ddgaij ,o!r retail /ores ,book/ores & news d1l]s #deabaj ,cam]as & photographic supplies #ddcacj ,flori/s #decaaj ,g5]al m]*&ise #debjjj ,gifts1 novelties1 & s\v5irs #decbbj ,h>dw>e #dddacj ,jewell]y or wat* sales or repairs #ddhcaj ,lawn & g>d5 supplies #dddbbj ,musical 9/ru;ts #deaadj ,(fice supplies & /,n]y /ores #decbaj ,pa9t or wallpap] #dddabj ,ph>macies or drug/ores #ddfaaj ,records1 ,,cd's1 or pre-record$ tapes #deabbj #bgi ,app5dix d#ea ,sew+1 ne$le"w1 & piece gds #deaacj ,%oes or clo?+ #ddhjjj ,sport+ gds or bicycles #deaaaj ,toys1 ho2ies1 & games #deaabj ,o!r m]*&ise #ddjjjj ,direct sales ,cosmetics #dedcij ,food or b"eages #dedcij ,fuel d1l]s #dedcaj ,h\sehold gds #dedcij ,newspap] deliv]y #dedcij ,v5d+ ma*9e op]ators #dedbaj ,o!r direct sales #dedcij ,onl9e retail+ #dedaaa ,mail ord] h\ses #dedaac ,:olesales ,:olesale ag5ts & brok]s 7n onl9e busi;s 6busi;s7 #daiabj ,onl9e :olesale ag5ts & brok]s--,busi;s 6busi;s #daiaaj #bhj ,app5dix e#ea ,app>el & dry gds #dadajj ,b"eages #dacbjj ,build+ mat]ials & supplies #dafjjj ,drugs #dadeaj ,f>m products #daaajj ,food #dacajj ,ma*9]y1 equip;t1 & relat$ supplies #dagjjj ,p]sonal & h\sehold gds #dadjjj ,petroleum products #dabaaj ,toba3o #daccaj ,vehicles1 "ps1 & a3essories #daejjj ,o!r products #dajjjj ,onl9e :olesal+ #dahiij -------------------------------------#eb ,3/ruc;n ,ac\/ical "w #bchcaj ,asphalt pav+ 7driveways & p>k+ lots7 #bchiij ,build+s 79clud+ develop;t7 #bcfjjj ,electrical 9/all,n #bchbaj ,5g9e]+ 3/ruc;n #bcgjjj #bha ,app5dix a#eb ,excavat+ or grad+ #bchiaj ,f;e 9/all,n #bchiij ,f9i% c>p5try #bchcej ,glass or glaz+ #bchaej ,h>dwood floor+ 9/all,n #bchccj ,h1t+1 air 3di;n+1 or o!r duct/%eet metal "w #bchbbj ,home r5ov,ns #bcfaaj ,9sul,n #bchcaj ,masonry #bchadj ,me*anical specialty "w #bchbbj ,pa9t+ or decorat+ #bchcbj ,pla/]+ or drywall+ #bchcaj ,plumb+ #bchbbj ,resili5t floor+ or c>pet 9/all,n #bchccj ,%+l+ #bchafj ,sid+ 9/all,n #bchagj ,site "w #bchiaj ,/ructural or relat$ "w #bchajj ,t]razzo or tile "w #bchcdj ,o!r 3/ruc;n s]vices #bcjjjj ,o!r ext]ior close-in "w #bchaij #bhb ,app5dix b#eb ,o!r 9t]ior or f9i%+ "w #bchcij ,o!r trade "w #bchiij ,manufactur+ ,b"eages #cabajj ,*emicals or *emical products #cbejjj ,clo?+ #caejjj ,-put] or electronic products #ccdjjj ,electrical equip;t1 appli.es1 & -pon5ts #ccejjj ,fabricat$ metal products #ccbjjj ,food #caajjj ,furniture or fixtures #ccgjjj ,l1!r or l1!r products #cafaaj ,non-metallic m9]al products #cbgjjj ,pap] products #cbbjjj ,pla/ic #cbfajj ,prim>y metal #ccajjj ,pr9t+ #cbcajj ,ref9$ petroleum & coal products #cbdajj ,ru2] #cbfbjj ,textile products #cadjjj #bhc ,app5dix c#eb ,textile y>n or fabric #cacjjj ,toba3o #cabbbj ,transport,n equip;t #ccfjjj ,wood products #cbajjj ,o!r manufactur+ #cjjjjj ,natural res\rce 9du/ries ,=e/ry support s]vices #aaecaj ,hunt+ & trapp+ #aadbaj ,lo7+ #aaccaj ,m9+ 7except oil & gas7 #babjjj ,oil & gas extrac;n #baaaaj ,qu>ry or s& pit #babcjj ,support activities = m9+ or oil & gas extrac;n #bacaaj #bhd ,9dex #ec ,page ,a3.t+ fees """""""""""""""""""""""" #ai ,a3rual me?od """"""""""""""""""""""" #e ,adv]tis+ exp5ses """""""""""""""""" #ag ,all[.e on eligi# capital prop]ty "" #bc ,automobile1 def9$ """"""""""""""""" #bj ,availa# = use1 def9$ """""""""""""" #bi ,bad debts """"""""""""""""""""""""" #ag ,busi;s1 def9$ """""""""""""""""""""" #e ,busi;s 9come report+ """"""""""""""" #e ,busi;s liabilities """""""""""""""" #bh ,busi;s records """"""""""""""""""""" #f ,busi;s tax1 fees1 lic;es1 dues """" #ah ,busi;s-use-(-home exp5ses """"""""" #bg ,capital 3tribu;ns 9 #bjji """"""""" #bi ,capital co/ all[.e 7,,cca7 ,adju/;t = curr5t-ye> a4i;ns """"" #cc ,base am.t """"""""""""""""""""""" #cc ,build+s """"""""""""""""""""""""" #cc ,class numb] 7,column #a7 """""""" #ca #bhe ,9dex a#ec ,classes ( deprecia# prop]ty #cc1 #de ,co/ ( a4i;ns 7,column #c7 """"""" #ca ,electronic (fice equip;t 7,class #h7 """""""""""""""""""" #cd ,grants & subsidies """""""""""""" #cg ,half-ye> rule """"""""""""""""""" #cc ,pass5g] vehicle1 def9$ """""""""" #bj ,pass5g] vehicles 7,class #aj or #aj.a7 """"""""""""""""""""""""" #ce ,p]sonal use ( prop]ty """"""""""" #cf ,proce$s ( 4posi;ns """""""""""""" #cj ,rate 7@3p7 """""""""""""""""""""" #cc ,recapture ( ,,cca """"""""""""""" #cb ,replace;t prop]ty """"""""""""""" #dj ,t]m9al loss """"""""""""""""""""" #dj ,,ucc at ! 5d (! ye> 7column #aj7 """"""""""""""""""""""""""" #cc ,,ucc at ! />t (! ye> 7column #b7 """""""""""""""""""""""""""" #ca ,undepreciat$ capital co/ 7,,ucc7 af a4i;ns & 4posi;ns """ #cb ,capital co/ all[.e1 deduc;n 7l9e #iicf7 """"""""""""""""""""""""""" #bc #bhf ,9dex b#ec ,capital co/1 def9$ """""""""""""""" #bi ,capital ga9s """""""""""""""""""""" #ch ,ca% me?od """""""""""""""""""""""""" #e ,*ang+ f p]sonal 6busi;s use """"""" #cf ,-mis.n 9come """""""""""""""""""""" #aa ,-put]s & o!r equip;t l1s+ co/s """" #bc ,3v5;n exp5ses """"""""""""""""""""" #bd ,co/ ( gds sold """""""""""""""""""" #ac ,cumulative eligi# capital 7,,cec7 a3.t """"""""""""""""""""""""""""" #df ,annual all[.e calcul,n """""""""" #df ,dates 6rememb] """"""""""""""""""""" #h ,deliv]y1 freiket value 7,,fmv71 def9$ """ #bi ,fiscal p]iod1 def9$ """""""""""""""" #e #bhg ,9dex c#ec ,=ms & public,ns """"""""""""""""""" #ee ,fuel co/s """"""""""""""""""""""""" #bj ,gifts ( 9v5tory 0an >ti/ """""""""" #ad ,,gst/,,hst rebate = "pn]s """""""""" #i ,gross 9come """"""""""""""""""""""" #ac ,id5tific,n >ea ( ,=m ,t#babe """""" #aa ,9come f a busi;s #e ,9come f a profes.n """"""""""""""""""""""""" #ab ,9come1 o!r 7l9e #hbcj7 """""""""""" #ac ,9du/ry codes """""""""""""""""""""" #ej ,9/al;t pay;ts """""""""""""""""""""" #g ,9sur.e exp5ses """""""""""""""""""" #ah ,9t]e/ exp5ses """"""""""""""""""""" #ah ,9v5tories """"""""""""""""""""""""" #ad ,l& """""""""""""""""""""""""""""""" #ca ,l1s+ co/s """"""""""""""""""""""""" #bb ,legal fees """""""""""""""""""""""" #ai ,liabilities """"""""""""""""""""""" #bh #bhh ,9dex d#ec ,ma9t5.e & repairs """"""""""""""""" #ai ,manage;t & adm9i/r,n fees """"""""" #ai ,m1ls & 5t]ta9;t """"""""""""""""""" #ag ,memb]%ip fees """"""""""""""""""""" #ah ,motor vehicle1 def9$ """""""""""""" #bj ,motor vehicle exp5ses """"""""""""" #bj ,busi;s use """""""""""""""""""""" #ba ,jo9t [n]%ip """"""""""""""""""""" #ba ,net 9come 7loss7 """""""""""""""""" #bg ,net 9come 7loss7 2f adju/;ts """""" #bg ,non->m's l5g? transac;n1 def9$ """" #bi ,acquir+ prop]ty """"""""""""""""" #cg ,(fice exp5ses """"""""""""""""""""" #ah ,o!r am.ts deducti# f yr %>e ( net "pn]%ip 9come 7loss7 """"""""""""" #bg ,o!r exp5ses 7l9e #ibgj7 """"""""""" #bc ,"pn]%ips ,def9$ """""""""""""""""""""""""""" #h ,"pn]%ip 9=m,n return """"""""""""""" #h #bhi ,9dex e#ec ,pass5g] vehicle ,def9$ """"""""""""""""""""""""""" #bj ,9t]e/ exp5se """""""""""""""""""" #bb ,prepd exp5ses """"""""""""""""""""" #ag ,private h1l? s]vices plan 7,,phsp7 """"""""""""""""""""""""" #bd ,proce$s ( 4posi;n1 def9$ """""""""" #cj ,profes.nal 9come """""""""""""""""" #ab ,profes.nal fees 9curr$ 7l9e #hhfj7 """"""""""""""""""""""""""" #ai ,prop]ty taxes """"""""""""""""""""" #bj ,proprietor%ips1 require;ts """""""" #aj ,public,ns """"""""""""""""""""""""" #ee ,records """""""""""""""""""""""""""" #f ,r5t """"""""""""""""""""""""""""""" #ai ,res]ves """"""""""""""""""""""""""" #bd -------------------------------------#ed ,sal>ies1 wages1 & b5efits pd """""" #ai ,small tools 7,class #h1 ,class #ab7 """"""""""""""""""""""""""""" #ce ,subcontracts """""""""""""""""""""" #ae #bij ,9dex a#ed ,subsidies """"""""""""""""""""""""" #cg ,supplies """""""""""""""""""""""""" #ai ,teleph"o exp5ses """""""""""""""""" #bj ,travel exp5ses """""""""""""""""""" #bj ,undepreciat$ capital co/ 7,,ucc71 def9$ """""""""""""""""""""""""""" #cj ,utilities """"""""""""""""""""""""" #bj ,vehicles1 m ?an "o """""""""""""""" #ba ,"w-in-progress 7,,wip7 """""""""""" #ab #bia #bib ,= m 9=m,n #ee ,=ms & public,ns ,y c get m copies ( ,=m ,t#babe1 ,/ate;t ( ,busi;s or ,profes.nal ,activities1 or any (! foll[+ =ms or public,ns1 ref]r$ 6in ? guide1 0go+ to _+www.cra.gc.ca/forms_: or 0call+ u at #a-hjj-iei-bbba4 ,guides & pamphlets ,g5]al ,9come ,tax & ,b5efit ,guide-- #bjji ,p#aaj1 ,pay+ ,yr ,9come ,tax 0,9/al;ts ,p#aac1 ,gifts & ,9come ,tax ,,rc#djae1 ,reconcili,n ( ,busi;s ,9come = ,tax ,purposes ,,rc#djbb1 ,g5]al ,9=m,n = ,,gst/,,hst ,regi/rants ,,rc#djeh1 ,qk ,me?od ( ,a3.t+ = ,,gst/,,hst ,,rc#djia1 ,,gst/,,hst ,rebate = ,"pn]s #bic ,= m 9=m,n a#ee ,,rc#daaj1 ,employee or ,self-,employ$8 ,,rc#ddji1 ,keep+ ,records ,t#djaa1 ,prep>+ ,returns = ,dec1s$ ,p]sons ,t#djcg1 ,capital ,ga9s ,t#djfh1 ,guide =! ,t#ejac ,"pn]%ip ,9=m,n ,return ,=ms ,,gst#cgj1 ,employee & ,"pn] ,,gst/,,hst ,rebate ,applic,n ,t#a;,a1 ,reque/ = ,loss ,c>ryback ,t#acg1 ,reque/ = ,de/ruc;n ( ,records ,t#aaci1 ,reconcili,n ( #bjji ,busi;s ,9come = ,tax ,purposes ,t#bjag1 ,summ>y ( ,res]ves on ,4posi;ns ( ,capital ,prop]ty ,t#bjch7,,9d71 ,9ve/;t ,tax ,cr$it 7,9dividuals7 ,t#bade1 ,elec;n 9 ,respect (! ,l1s+ ( ,prop]ty ,t#badf1 ,elec;n 9 ,respect ( ,assign$ ,l1ses or ,subl1s$ ,prop]ty #bid ,= m 9=m,n b#ee ,t#bbaj1 ,v]ific,n ( ,policy ,loan ,9t]e/ 0! ,9sur] ,t#ejjc1 ,/ate;t ( ,tax ,%elt] ,9=m,n ,t#ejjd1 ,claim = ,tax ,%elt] ,loss or ,deduc;n ,t#ejac1 ,/ate;t ( ,"pn]%ip ,9come ,t#ejac;,a1 ,/ate;t ( ,"pn]%ip ,9come = ,tax ,%elt]s & ,ren\nc$ ,res\rce ,exp5ses ,9=m,n circul>s ,,ic#gf-ai1 ,transf] ( ,prop]ty 6a ,corpor,n "u ,sec;n #he ,,ic#gh-aj1 ,books & ,records ,ret5;n/,de/ruc;n ,9t]pret,n bullet9s ,,it-#gi1 ,capital ,co/ ,all[.e-- ,build+s or ,o!r ,/ructures ,,it-#ij1 ,:at is a ,"pn]%ip8 ,,it-#ii1 ,legal & ,a3.t+ ,fees #bie ,= m 9=m,n c#ee ,,it-#abc1 ,transac;ns ,9volv+ ,eligi# ,capital ,prop]ty ,,it-#abh1 ,capital ,co/ ,all[.e-- ,deprecia# ,prop]ty ,,it-#aca1 ,3v5;n ,exp5ses ,,it-#adc1 ,m1n+ ( ,eligi# ,capital ,exp5diture ,,it-#aed1 ,special ,res]ves ,,it-#bjj1 ,surface ,r5tals & ,f>m+ ,op],ns ,,it-#bjf1 ,sep>ate ,busi;ses ,,it-#bbj1 ,capital ,co/ ,all[.e-- ,proce$s ( ,4posi;n ( ,deprecia# ,prop]ty ,,it-#bcb1 ,losses--,_! ,deductibil;y 9 ! ,loss ,ye> or 9 ,o!r ,ye>s ,,it-#bei1 ,ex*ange ( ,prop]ty ,,it-#bgc1 ,gov]n;t ,assi/.e--,g5]al ,-;ts ,,it-#bhe1 ,capital ,co/ ,all[.e--,g5]al ,-;ts ,,it-#bia1 ,transf] ( ,prop]ty 6a ,corpor,n "u ,subsec;n #he7#a7 #bif ,= m 9=m,n d#ee ,,it-#cci1 ,m1n+ ( 8,private ,h1l? ,s]vices ,plan0 ,,it-#cda1 ,exp5ses ( ,issu+ or ,sell+ ,%>es1 ,units 9 a ,tru/1 ,9t]e/s 9 a ,"pn]%ip or ,syndicate1 & ,exp5ses ( ,borr[+ ,m"oy ,,it-#cfd1 ,-m;e;t ( ,busi;s ,op],ns ,,it-#cgc1 ,woodlots ,,it-#cgh1 ,w9d+-up (a ,"pn]%ip ,,it-#dac1 ,elec;n 0,memb]s (a ,"pn]%ip "u ,subsec;n #ig7#b7 ,,it-#dag1 ,prepd ,exp5ses & ,def]r$ ,*>ges ,,it-#dai1 ,m1n+ ( ,>m's ,l5g? ,,it-#ddb1 ,bad ,debts & ,res]ves = ,d\bt;l ,debts ,,it-#deg1 ,elec;n 0,profes.nals 6,exclude ,"w 9 ,progress f ,9come ,,it-#dei1 ,adv5ture or ,3c]n 9 ! ,nature ( ,trade ,,it-#dfd1 ,capital ,co/ ,all[.e-- ,l1sehold ,9t]e/s ,,it-#dgc1 ,9v5tory ,valu,n #big ,= m 9=m,n e#ee ,,it-#dgh1 ,capital ,co/ ,all[.e-- ,recapture & ,t]m9al ,loss ,,it-#dha1 ,timb] ,res\rce ,prop]ty & ,timb] ,limits ,,it-#dij1 ,b>t] ,transac;ns ,,it-#dia1 ,=m] ,busi;s ,prop]ty ,,it-#eja1 ,capital ,co/ ,all[.e--,lo7+ ,assets ,,it-#ejd1 ,visual ,>ti/s & ,writ]s ,,it-#dib1 ,capital ,co/ ,all[.e-- ,9du/rial ,m9]al ,m9es -------------------------------------#ef ,,it-#ead1 ,"w ,space 9 ,home ,exp5ses ,,it-#eah1 ,food1 ,b"eages1 & ,5t]ta9;t ,exp5ses ,,it-#eba1 ,motor ,vehicle ,exp5ses ,claim$ 0,self-,employ$ ,9dividuals ,electronic s]vices ,electronic s]vices help busi;ses 0/r1ml9+ -munic,ns )! ,,cra & simplify+ ! prep>,n & submis.n ( tax 9=m,n4 #bih ,my ,a3.t a#ef .,my .,a3.t is a secure1 3v5i5t1 & "t- sav+ way 6a3ess & manage yr tax & b5efit 9=m,n onl9e1 sev5 "ds a week6 ,if y >e n regi/]$ ) .,my .,a3.t b ne$ 9=m,n "r away1 use .,qk .,a3ess 6get fa/1 easy1 & secure a3ess 6"s ( yr 9=m,n n[4 ,= m 9=m,n1 g 6_+www.cra.gc.ca/myaccount_: or see ,pamphlet ,,rc#djei1 ,my ,a3.t = 9dividuals4 ,my ,busi;s ,a3.t ,my ,busi;s ,a3.t provides busi;s [n]s 79clud+ "pn]s1 directors1 & (fic]s7 secure1 onl9e a3ess 6_! ,,gst/,,hst1 payroll1 corpor,n 9come tax1 & o!r a3.t 9=m,n onl9e4 ,y c file returns1 view a3.t bal.es & transac;ns1 & view ! /atus ( c]ta9 returns4 ,y c al view & update yr op]at+ "n1 view yr direct deposit bank+ 9=m,n1 & au?orize yr employees & repres5tatives 6h onl9e a3ess 6yr a3.t 9=m,n4 ,6le>n m ab ! gr[+ li/ ( #bii ,= m 9=m,n b#ef s]vices availa# 9 ,my ,busi;s ,a3.t1 g 6_+www.cra.gc.ca/mybusinessaccount_:4 ,repres5t a cli5t ,au?oriz$ repres5tatives c view a3.t 9=m,n & transact onl9e = _! busi;s cli5ts "? ! ,repres5t a cli5t s]vice4 ,busi;s [n]s c au?orize _! repres5tatives "? ,my ,busi;s ,a3.t1 or ) ,=m ,,rc#ei1 ,busi;s ,3s5t ,=m4 ,= m 9=m,n1 g 6_+www.cra.gc.ca/representatives_:4 ,3tact u ,? guide expla9s ! mo/ -mon tax situ,ns4 ,if y ne$ m 9=m,n ab busi;s or profes.nal activities1 visit _+www.cra.gc.ca_: or call #a-hjj-iei-eebe4 #cjj ,teletypewrit] us]s c#ef ,if y use a teletypewrit] 7,,tty71 y c call \r bil+ual 5quiry s]vice at #a-hjj-ffe-jced4 ,/>t \tl9e ,\r s]vice -pla9t process ,/ep #a--,talk 6u ,if y >e n satisfi$ )! s]vice y h rcvd f u1 y h ! "r 6make a =mal -pla9t4 ,2f y make a -pla9t1 we recomm5d t y try 6resolve ! matt] )! ,,cra employee y h be5 d1l+ ) 7or call ! ph"o numb] y h be5 giv574 ,if y / 4agree )! way yr 3c]ns >e 2+ a4ress$1 ask 64cuss ! matt] )! employee's sup]visor4 #cja ,/ep #b--,3tact ,,cra-- d#ef ,s]vice ,-pla9ts ,? program is availa# 69dividual & busi;s taxpay]s & b5efit recipi5ts :o h d1l+s ) u4 ,x is m1nt 6provide y ) an extra level ( review if y >e n satisfi$ )! results f ! .f/ ./ep ( \r -pla9t process4 ,9 g5]al1 s]vice- relat$ -pla9ts ref] 6! qual;y & "tli;s (! "w we p]=m$4 ,if y *oose 6br+ yr -pla9t 6! att5;n ( ,,cra--,s]vice ,-pla9ts1 -plete ,=m ,,rc#aic1 ,s]vice-,relat$ ,-pla9t1 : y c get 0go+ 6_+www.cra.gc.ca/complaints_: or 0call+ #a-hjj-iei-bbba4 ,/ep #c--,3tact ! (fice (! ,taxpay]s' ,ombudsman ,if1 ..af foll[+ /eps #a & .#b1 y >e / n satisfi$ )! way ! ,,cra has h&l$ yr -pla9t1 y c file a -pla9t )! ,taxpay]s' ,ombudsman4 #cjb ,= m 9=m,n e#ef ,= m 9=m,n on ! ,taxpay]s' ,ombudsman & on h[ 6file a -pla9t1 visit _! ,web site at _+www.taxpayersrights.gc.ca_:4 ,5d \tl9e ,yr op9ion c.ts ,if y h any -;ts or su7es;ns t cd help u improve \r public,ns1 we wd l 6he> f y4 ,pl1se s5d yr -;ts to3 ,taxpay] ,s]vices ,directorate ,canada ,rev5ue ,ag5cy #gej ,h]on ,road ,ottawa ,,on ,k#a;,a #j;,l#e #cjc #cjd ,transcrib]'s note3 7,back cov]7 ,canada ,rev5ue ,ag5cy ,electronic s]vices ,get ! answ]s y ne$ all ye> l;g1 "r at yr f+]tips1 0us+ ! ,canada ,rev5ue ,ag5cy's secure electronic s]vices4 ,a3ess tax 9=m,n1 file a return1 regi/] a busi;s1 get cli5t 9=m,n1 make onl9e reque/s1 use payroll s]vices1 make an electronic pay;t1 d[nload or ord] =ms & public,ns1 & m6 ,electronic s]vices _+www.cra.gc.ca/electronicservices_: ,my ,busi;s ,a3.t _+www.cra.gc.ca/mybusinessaccount_: ,repres5t a cli5t _+www.cra.gc.ca/representatives_: ,corpor,n ,9t]net ,fil+ _+www.cra.gc.ca/corporation-internet_: #cje ,electronic s]vices ,fil+ 9=m,n returns _+www.cra.gc.ca/iref_: ,,gst/,,hst ,,netfile ,,gst/,,hst ,,telefile _+www.cra.gc.ca/gsthst-filing_: ,electronic pay;ts _+www.cra.gc.ca/electronicpayments_: ,direct deposit _+www.cra.gc.ca/dd-bus_: ,my ,a3.t _+www.cra.gc.ca/myaccount_: ,want tips on v>i\s tax-relat$ topics8 ,g 6_+www.cra.gc.ca/taxtips_:4 ,= m 9=m,n1 visit _+www.cra.gc.ca_:4 #cjf