CCA for Electric Vehicles (Class 54)

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ahuj3380
New Member

CCA for Electric Vehicles (Class 54)

Can someone explain what you can claim for an electric vehicle regarding Class 54.  If I buy an electric vehicle for $70k + tax and I use 50/50 for business/personal, what can I claim?  Is it all claimed in the first year or can I claim a certain percentage yearly?

 

Referring to the following: https://www.budget.gc.ca/2019/docs/tm-mf/si-is-en.html

https://www.tc.gc.ca/en/services/road/innovative-technologies/zero-emission-vehicles.html

 

Thanks in advance!

 

2 Replies
TurboTaxLise
Moderator

CCA for Electric Vehicles (Class 54)

Firstly, you must have purchased the vehicle AFTER May 1, 2019, & must be part of the list of qualifying vehicles to be eligible for any rebates and use the CCA class 54. “CCA will be deductible on any remaining balances in the new classes on a declining-balance basis at a rate of 30% for Class 54”. As mentioned in the link you provided above.  You would claim 30% yearly, not all in one shot.

 

You would claim your CCA and any expenses related to your business as you normally would. But use class 54 for CCA only IF you purchased vehicle after May 1,2019.

 

  • Class 54, for zero-emission vehicles that would otherwise be included in Class 10 or 10.1: the amount of CCA deductible for vehicles in this class is limited to CA$55,0001 (plus sales taxes) per vehicle.
  • Class 54 motor vehicles and passenger vehicles excluding taxicabs and automobiles used for lease and rent. The CCA rate for this class is 30% but a higher deduction (up to a maximum of 100%) may apply for certain eligible vehicles acquired after March 18, 2019, and before January 1, 2028 (phase-out starting in 2024). The capital costs will be deductible up to a limit of $55,000 plus sales tax for 2019 for zero-emission passenger vehicles.

 

From the CRA:

 

Footnote: If you live in Quebec or British Columbia, these are currently the only two provinces that have an additional rebate program for ZEV.

GRICHARD
New Member

CCA for Electric Vehicles (Class 54)

Hi, I am trying to figure if the software is behaving like it should.

 

I bought a class 54 ZEV vehicule in 2020. So I have to enter the information in T777e Part A right?

I can't find the way to do it with EasySteps, could you help me with that?

 

Say I enter the information directly on the form. Shouldn't line 23 on the form get filled with the Total from Part A? Right now it doesn't get filled.

 

I look forward to a response.

 

Thank you.

v