,canada ,cu/oms                       #a
& ,rev5ue ,ag5cy

          ,9t]pret,n ,bullet9
    
,subject3 ,9come ,tax ,act
  ,cu/om] ,li/s & ,l$g] ,a3.ts
,numb]3 ,,it-#ahg
,date3 ,novemb] #ab1 #aigd
,ref];e3 ,p>agraph #ah7#a77b7 7al
  p>agraphs #bj7#a77a7 & #ad7#e77b77

  ,? bullet9 replaces & c.els ,9t]pret,n
,bullet9 ,,it-#cc dat$ ,septemb] #ag1
#aiga4

#a4 ,a taxpay] :o acquires li/s or l$g]
  a3.ts ( cli5ts1 cu/om]s or subscrib]s
  m/ det]m9e :e!r ! co/ ( acquisi;n is a
  capital exp5diture or a deducti#
  exp5se (! ye>4 ,? m/ 2 d"o on ! basis
  ( g5]al 9come tax law1 hav+ reg>d 6!
  pr9ciples e/abli%$ 0! c\rts & 6!
  provi.ns (! agree;t 6acquire ! li/ or
  a3.ts4                              #a
            ,capital ,\tlay          a#a
    
#b4 ,": ! taxpay]1 9 fact1 acquires !
  busi;s (! v5dor z a go+ 3c]n r ?an j a
  li/ ( cu/om]s1 ! am.t (! pur*ase price
  attributa# 6! li/ is reg>d$ z a
  capital \tlay 6acquire an 5dur+
  b5efit4 ,z 9tangi# prop]ty1 s* a li/
  is n deprecia# prop]ty )9 ! descrip;n
  ( ,class #h ( ,s*$ule ;,b (!
  ,regul,ns1 nor is x subject 6capital
  co/ all[.e z prop]ty ( any o!r class (
  ,s*$ule ;,b4
#c4 ,capital co/ all[.e may 2 claim$1
  h["e1 ": a cr$it bur1u pur*ases !
  busi;s ( ano!r cr$it bur1u z a go+
  3c]n1 9clud+ all xs files & dockets4
  ,9 ? case ! dockets >e 3sid]$ 6be
  tangi# prop]ty &! por;n (! pur*ase
  price allocat$ 6!m is 9clud$ 9 ,class
  #h ( ,s*$ule ;,b (! ,regul,ns4 ,!
  basis = ? all[.e is t ! dockets &
  files >e ak9 6a ref];e libr>y : cli5ts
  (! cr$it bur1u use 9 respect ( _!
                                      #b
               ,,it-#ahg             b#a
  prospective cu/om]s & n ! cr$it bur1u
  9 respect ( xs [n cu/om]s4
#d4 ,": p>agraph #c does n apply1 a
  capital \tlay made af #aiga 6acquire a
  li/ = use 9 a busi;s (a taxpay] 9 mo/
  cases qualifies z an eligi# capital
  exp5diture4 ,9t]pret,n ,bullet9
  ,,it-#adc 5titl$ 8,m1n+ ( ,eligi#
  ,capital ,exp5diture0 %d 2 3sult$4

           ,deducti# ,exp5se
    
#e4 ,": ! taxpay] cle>ly pur*as$ no?+ m
  ?an l$g] a3.ts or a li/ ( cu/om]s &
--------------------------------------#b
  c]ta9 relat$ 9=m,n 6be us$ =! purpose
  ( e>n+ 9come1 ! co/ is reg>d$ z
  deducti# 9 -put+ 9come (! ye>4
  ,examples >e ": ! li/ is
  7a7 ( only pass+ value 6! pur*as] 2c x
    0 acquir$ =a specific purpose 7e4g41
    =a promo;nal campaign7 & xs
    subsequ5t use wd 5tail ! exp5diture
    ( "t & m"oy 6keep x up 6date1 &   #c
               ,,it-#ahg             a#b
  7b7 use;l only 9 provid+ 8l1ds0
    6prospective cu/om]s t w 2 value.s
    un.s foll[$ up 0! normal sell+
    te*niques (! pur*as]4
#f4 ,": ! busi;s (! pur*as] is d1l+ 9 s*
  li/s1 ! co/ (a li/ =ms "p ( 8 co/ (
  sales4
#g4 ,2t ! cle>-cut cases not$ 9 ?
  bullet9 w 2 situ,ns 9volv+ "s
  unc]ta9ty1 : %d 2 resolv$ prim>ily on
  ! basis ( :e!r or n ! pur*ase ( a3.ts
  or li/s is 9cid5tal 6! pur*ase ( o!r
  assets (a busi;s4










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