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New Member
posted Oct 30, 2019 8:54:04 AM

Should I claim the cost before or after sales taxes when I claim an investment expense (new appliance in a rental)?

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1 Best answer
New Member
Oct 30, 2019 8:54:05 AM

You should claim the total cost of the addition of equipment for Capital Cost Allowance purposes, including the GST/HST.

Appliances are Class 8 for CCA.

6 Replies
New Member
Oct 30, 2019 8:54:05 AM

You should claim the total cost of the addition of equipment for Capital Cost Allowance purposes, including the GST/HST.

Appliances are Class 8 for CCA.

New Member
Oct 30, 2019 8:54:07 AM

Thank you! I can claim it as an investment expense and then also claim under CCA, right?

New Member
Oct 30, 2019 8:54:08 AM

New appliances are considered Capital Assets and claimed for CCA purposes only. Not as current expenses as they have lasting value and should be depreciated (CCA) over a period of time.

Returning Member
Oct 30, 2019 8:54:09 AM

does this also apply to new vehicle additions? do I include gst/qst in the total cost?

New Member
Oct 30, 2019 8:54:11 AM

Your passenger vehicle can belong in either Class 10 or Class 10.1. To determine the class your passenger vehicle belongs, you have to use the cost of the vehicle before you add the GST/ PST , or the HST .

Include your passenger vehicle in Class 10.1 if you bought it in your 2017 fiscal period and it cost more than $30,000. List each Class 10.1 vehicle separately.

We consider the capital cost of a Class 10.1 vehicle to be $30,000 plus the related GST/HST, or PST. The $30,000 amount is the capital cost limit for a passenger vehicle.

https://www.canada.ca/en/revenue-agency/services/tax/businesses/topics/sole-proprietorships-partnerships/report-business-income-expenses/claiming-capital-cost-allowance/classes-depreciable-property.html#Class101

Returning Member
Oct 30, 2019 8:54:12 AM

thank you