Tools are considered to be of long-lasting value. Therefore, they are entered as Capital Assets (in the CCA section) and are depreciated over time. How much time and at what rate depends on the tool type and cost.
To claim the tools as a business expense::
- Select Find from the menu and enter self-employment
- Select the search result, then select Go
- Answer Yes to "Do you have self-employed income and/or expenses to report?", then select Continue
- Indicate your category of self-employment, then select Continue
- Enter your self-employment business information on the screens that follow, selecting Continue as you finish each screen
- Proceed until the "did you have any fixed assets?" screen. Select Continue and enter the amount.
- When you’re finished, select Continue.
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