Although this may seem confusing, the calculation is correct. One way to look at it is:
- The amount of CCA you are allowed to claim each year on a Class 10.1 vehicle is 30%. (30% of 28,815 = 8,644.50)
- You must further prorate this by the kms used for business use. (35.3735% of 8,644.50 = 3,057.87)
- Your UCC amount will decrease by the full amount of CCA you can claim each year, not the percentage used for business. (28,815 - 8,644.50 = 20,170.50)
