For tax purposes, the deduction for using a long-lived asset for business purposes is calculated through the
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For tax purposes, the deduction for using a long-lived asset for business purposes is calculated through the capital cost allowance (“CCA”) system. Under this system, assets are assigned to a particular class and the amount of CCA for the year is limited to a specified percentage of the Undepreciated Capital Cost (“UCC”) of the class. What does it mean if the particular UCC class has a positive balance, but there are no assets remaining in the class? What are the tax implications of this situation?
Related Book For
Financial Accounting A User Perspective
ISBN: 978-0470676608
6th Canadian Edition
Authors: Robert E Hoskin, Maureen R Fizzell, Donald C Cherry
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