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New Member

For sole proprierter, im adding car allowance. what does "personal" mean in the section that reads "if you purchased equipment duringthe year, enter the details here

 
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New Member

For sole proprierter, im adding car allowance. what does "personal" mean in the section that reads "if you purchased equipment duringthe year, enter the details here

It means that you are adding some item of equipment, the cost $500 and above, as a business asset.  This means that you cannot claim the entire amount as an expense, but only a portion of it based on the asset class.  The "personal" space is for the portion of time that is is not used for business.  A car might be added as an asset, but is used for business and personal.  You cannot deduct your personal use, so the personal portion is subtracted and capital cost allowance calculated on the remainder.

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New Member

For sole proprierter, im adding car allowance. what does "personal" mean in the section that reads "if you purchased equipment duringthe year, enter the details here

It means that you are adding some item of equipment, the cost $500 and above, as a business asset.  This means that you cannot claim the entire amount as an expense, but only a portion of it based on the asset class.  The "personal" space is for the portion of time that is is not used for business.  A car might be added as an asset, but is used for business and personal.  You cannot deduct your personal use, so the personal portion is subtracted and capital cost allowance calculated on the remainder.

View solution in original post