I was laid off July 31, do I still claim a full ye...

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New Member

I was laid off July 31, do I still claim a full year of cca on my vehicle?

Using Turbo Tax standard for 2017. Upon completing employment expenses, the program calculates a full year of CCA allowance on my car in spite of stopping work July 31/17

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I was laid off July 31, do I still claim a full year of cca on my vehicle?

When claiming Employment Expenses against your income, the following rules apply to CCA;

 "You can only claim CCA if you were still using the property for employment at the end of 2017. If you started using a property for employment part way through the year, you can claim CCA on the property for the full year. You do not have to limit your CCA claim to the part of the year you used the property for employment. If you stopped using the property for employment during the year, you cannot claim any CCA on the property for the year."

To prevent any CCA from posting, you will need to enter a "deemed disposition" of your vehicle. As you also do not want to incur any "recapture or terminal loss", enter an amount equal to your UCC as the Proceeds of Disposition.

The following CRA link explains this rule:

https://www.canada.ca/en/revenue-agency/services/forms-publications/publications/t4044/employment-ex... 

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