Why have I waited a week for a response and been given no reply? Can I split the cost of my tool box between 2 years was my question!

[pklassen8]

I have more than enough to claim the maximum tool allowance and after $1700 dollars you get know more money back that the $500 which is the max. So I  would like to carry over some of the cost of my $3000 tool box to next year. Can I do that?

[TurboTaxTerry · Accepted solution]

I apologies if you have not received an answer earlier in your submission. Canada Revenue has not made any allowance for carry forward tool costs that exceed the maximum claim of $500. However the excess tool costs will be used in a future year to avoid or reduce any recapture of deductions in the event that you sell any of your tools.

As an example you are claiming $4000 worth of tolls and receive a deduction for $500. In a future year you sell $2000 worth of these tools. You would claim the sold tool income against the undeducted excess of $3500 before having to repay the government any of the $500 credit received in 2016.

If that helps any.

[TurboTaxTerry]

http://www.cra-arc.gc.ca/tx/ndvdls/tpcs/ncm-tx/rtrn/cmpltng/ddctns/lns206-236/229/trds/tldspstn-eng....