Personal Finance

CCA - when to claim

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  • Apr 8th, 2015 9:29 pm
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Member
Jul 19, 2006
353 posts
134 upvotes

CCA - when to claim

Quick question - do you have to claim CCA on the year that you buy or can you claim at any time? If you don't claim any on the first year, do you still have to put down the building value and just say you're claiming $0?

also how much % should you assign to land vs. building?
15 replies
Deal Addict
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Jan 1, 2009
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North York
you have to claim it when you buy it -first year is 50% of CCA -you can override the cell if you don't want to claim the CCA but you still have to include the asset in the year you bought it

usually it is 75% building -it could vary
Member
Jul 19, 2006
353 posts
134 upvotes
Thank you! Can I just estimate building value or do I need some sort of backup?
Deal Fanatic
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Nov 19, 2004
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Cambridge, ON
If you just bought, why do you need to estimate?
Deal Addict
Feb 14, 2010
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Toronto
you can not claim CCA on land. take a look at your property insurance it should list the replacement value of the building itself.
Deal Fanatic
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Nov 19, 2004
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Cambridge, ON
thelastword wrote: you can not claim CCA on land. take a look at your property insurance it should list the replacement value of the building itself.
Ah yeah, good point. Did I ever miss the whole point of the thread and misread.
Deal Addict
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Jan 1, 2009
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North York
You have to take the purchase value from statement of adjustments and add legal costs and disbursements, such as title insurance, etc and of course, land transfer tax and then you prorate the portion of the building -and that is your cost for Schedule 8
Member
Jul 19, 2006
353 posts
134 upvotes
great idea. i just checked and have a value assigned to the dwelling building and will use that. thanks!

my accountant (very junior one) seems to say that i don't have to log it in my taxes until i actually want to claim some. it's a bit disappointing that i need to double check my accountant's work (i've found a couple other omissions i found already that he didn't claim from the files i sent him...)
Deal Addict
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Jan 1, 2009
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North York
It is a rental property, is it not? even if you purchased it in December and not renting it until Feb, it is a good idea to put it down -just override the CCA until the year you rent it out (which hopefully is very soon) :)

In addition-you can add any major repairs to the dwelling to the cost of the building
Member
Jul 19, 2006
353 posts
134 upvotes
thank you! for 50% ownership, should I reduce the CCA by 50%? Or should i put the full 100%?
Deal Addict
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Jan 1, 2009
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North York
you should enter it at 50%
Member
Jul 19, 2006
353 posts
134 upvotes
Thanks. So the front page of expenses at 100% but the cca at 100%? Seems so counterintuitive! I do put the 50% of ownership on the front page but not the second. Maybe that's why
Deal Addict
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Jan 1, 2009
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North York
You input the expenses at 100% and the software calculates your portion-make sure you enter it there (50%). For UCC make sure it does calculate it based on your 50%.
Member
Jul 19, 2006
353 posts
134 upvotes
sorry i had a typo. So front page for expenses is inputted at 100% and the CCA ones are inputted at 50%. is that right?
Deal Addict
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Jan 1, 2009
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North York
Yes, I am not familiar with your software so make sure that the expenses are entered at 100% BUT that it takes 50% for your share

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