Tax & car write off

andrice wrote: ↑ Hello Deal Lovers :-)

My car was hit and run and totally wrote off. I use it for both sole business and personal. I haven't purchased a new car yet, how do I file for tax?

Thank you for your help.

I'm assuming this is for personal taxes in which case you would write off the entire capital cost of the vehicle (if you own it) on your tax return based on the business percentage. If you leased the vehicle then nothing to do since you never owned it and no further lease payments would be made.

Tiberious

Thank you Tiberious for your help.

This is for small business taxes, The settlement amount almost double the UCC last year, that means I have a gain on income? Thank you so much.

andrice.

andrice wrote: ↑ Thank you Tiberious for your help.

This is for small business taxes, The settlement amount almost double the UCC last year, that means I have a gain on income? Thank you so much.

andrice.

No, if the vehicle is class 10.1 then you don't report gains/losses but you need to report CCA recapture; note that I'm making a lot of assumptions about your situation.

I'd suggest you talk to your accountant; he/she should be able to give you some good details tailored to your specific situation.

Tiberious