Retired end of March, how do I claim CCA and do I have to "dispose" the vehicle?

This will be the last year claiming CCA for vehicle used for work. Retired end of March. The program automatically calculates CCA for whole year. Do I over ride the amount to reflect 1/4 of amount (3months)? Also what about the balance, do I have to dispose an amount, and if so how do I calculate that amount? When I do my return next year I do not want the CCA to be a problem.


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Find the fair market value (FMV) of the vehicle as at the date you retired and enter that as the disposition amount in the CCA schedule. You may have CCA recapture. However, if you are lucky, and there is still an amount of UCC left, then claim a terminal loss on the asset. This will clear out the amount for future years and give you that UCC as a deduction this year.

PS - Because of CCA recapture mechanics you can't claim CCA and sell the asset in the same year - the terminal loss provision takes care of the leftovers, if any, though.

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