Capital cost allowance and cumulative eligible capital deductions will be calculated based on information entered in the CCA-Class group.
Accrual inventory - opening
Accruals/payables - cash basis - closing
Accrued dividends - prior year
Amount received - environmental trust
Book loss of joint venture/partnership
Capital items expensed
Enter fixed asset expenses capitalized in the financial statements which are tax-deductible here. The amount entered will be deducted from income.
Capitalized interest and property taxes on vacant land
Carrying charges
Contractors' completion method adj. - previous year
Cost of products available for sale that were consumed
Debt issue expense
Deemed dividend income
Deemed interest received
Deemed interest on loans to non residents
Deferred and prepaid expenses
Development expenses claimed in current year
Dividends credited to the investment account
Dividend rental arrangement compensation payment ded.
Dividend stop-loss adjustment
Exploration expenses claimed in current year
Financing fees deducted in books
Fiscal reserves deducted for previous fiscal period
Foreign accrual property income
Foreign affiliate property income
Foreign exchange included in retained earnings
Gain on settlement of debt
Holdbacks from current fiscal period
Income from joint ventures
Income from partnerships
Interest paid on income debentures
Inventory depreciation - end of fiscal period
Limited partnership losses
Loss from disposal of assets
The book gain (loss) on disposal of depreciable assets adjusts income on Schedule 1. Gains will be deducted from income and losses added back.
Loss from international banking centres
Loss from joint ventures
Loss from partnerships
Loss in equity of affiliates
Mandatory inventory adjustment - current year
Total meals and entertainment expenses
Enter 100% of the meals and entertainment expenses here; DT Max will calculate the deductible portion.
Meals and entertainment expenses incurred after February 21, 1994, are 50% deductible federally and provincially.
For Quebec, the deduction for meals and entertainment expenses will be limited at an amount equal to 1% of gross income for the taxation year ending before March 31, 2004. If the taxation year ends after March 30, 2004, the deduction for meals and entertainment depends on the amount of gross income for the taxation year, i.e. if the gross income is $32,500 or less, the deduction will be limited to 2%; if the gross income is more than $32,500 but less than $52,000, the deduction will be limited to $650; and if the gross income is $52,000 or more, the deduction will be limited to 1.25%.
Portion meal exp. of truck drivers incurred after 2010
Portion of the meal expenses consumed by long-haul truck drivers after 2010 will be deductible at a rate of 80%.
Portion of meal expenses due to regular travel - Qc
Portion of the meal expenses (food and beverage) that are incurred by a taxpayer through business-related activities, if they occur 40 km or more from the taxpayer's place of business. These activities must be regularly carried out in a location that far from the place of business. These expenses are 50% deductible.
Portion of meal expenses from sales agencies - Qc
Net loss for general partners
Non deductible advertising
Non deductible car loan interest
Non deductible car leasing expenses
These non deductible auto expenses include allowances paid to employees which are in excess of the deductible limits for tax purposes. The amounts entered here will be added back to net income on Schedule 1.
Non deductible club dues and fees
Club dues and fees are not deductible from income for tax purposes where the main purpose of using the club facilities is for dining, sports, or other recreational purpose. The amount entered here will be added back to net income on Schedule 1.
Non deductible fines and penalties
Section 67.6 prohibits deductions for fines and penalties, including municipal parking tickets. It does not apply to interest, including interest on penalties.
Non deductible interest
Non deductible legal and accounting fees
Non deductible life insurance premiums
Overcontributions to company pension plan
Enter the amount of non deductible over-contributions to the company pension plan here. The amount entered will be added back to income.
Optional value of inventory - included in current year
Other expenses from financial statements
Enter other expenses capitalized in the financial statements which are taxable here. The amount entered will be added back to income.
Personal expenses of partners paid by partnership
Receivables/prepaid - cash basis - opening
Renounced resource expenses deducted on F/S
Reserves from statements - ending of year
Resource deduction in books
Salaries and wages paid to partners deducted on F/S
Security issue expenses that have been renounced
Taxable/non-deductible other comprehensive income items
Total SR&ED expenses deducted in financial statements
Enter SR&ED expenses deducted in the financial statements here. The amount entered will be added back to income.
For tax purposes, Schedule 32 (T661) detailing the claim for SR&ED expenditures in Canada will result in a deduction from income on Schedule 1.
Sales tax assessments
Soft costs on construction and renovation of buildings
Enter generally any expenses known as "soft costs" incurred during the alteration, construction or renovation of buildings and which must be capitalized. The amount entered will be added to income.
Write-down of capital property
Other additions - specify
Use [Alt-J] to enter different values for other jurisdictions.
Accrual inventory - closing
Accruals/payables - cash basis - opening
Accrued dividends - current year
Additional CCA - Data processing or M&P equipment (35%)
Additional CCA - Data processing or M&P equipment (60%)
Additional CCA - Data processing or M&P equipment (30%)
Amount paid - environmental trust
Bad debts
Book income of joint venture/partnership
Carrying charges
Contractors' completion method adj. - current year
Contributions to deferred income plans
Deferred and prepaid expenses
Exempt income under ITA 81
Financial expenses - Qc
Fiscal reserves to be deducted for fiscal period
Foreign non-business tax deduction subsection 20(12)
Gain from disposal of assets
Gain in equity of affiliate
Holdbacks from prior fiscal period
Income from international banking centres
Inventory depreciation - prior year
Mandatory inventory adjustment - prior year
Net income for general partners
Non-Canadian advertising - broadcasting
Non-Canadian advertising - printed materials
Non-tax./deductible other comprehensive income items
Non-taxable dividends under section 83
Optional inventory adjustment - prior year
Other income from financial statements
Patronage dividends
Payment allocated in proportion to borrowing/bonus interest
Receivables/prepaid - cash basis - closing
Reserves from financial statements - beginning of year
Other deductions - specify
Use [Alt-J] to enter different values for other jurisdictions.
Net book value - opening
Net book value - ending
The opening and ending net book values are needed to determine the change in fixed assets per books.
Deferred book additions
Book additions of fixed assets which are deferred for tax purposes entered here will be added or deducted from the change in fixed assets for tax purposes. If property acquired in the year is not depreciable for tax purposes due to the available-for-use rule, enter the amount as positive and it will be added to the additions for tax purposes. If a prior year addition is available for use this year, it should be entered as a negative amount here and it will be deducted from the additions for tax purposes.
Operating leases capitalized (books)
Operating leases capitalized for book purposes will be added to the change in fixed assets for tax purposes. Where the accounting treatment of a lease is as a capital lease but the same lease is considered to be an operating lease for tax purposes, the capitalized value of the lease on the books must be added back here.
Deferred capital gain
Capital gains deferred for tax purposes will be added to the change in fixed assets for tax purposes. Deferral of the capital gain can arise when a capital gains reserve has been taken on proceeds receivable, when business property has been replaced or on a rollover of property by the corporation where no gain or loss has occurred for tax purposes.
Deferred recapture
Recaptures deferred for tax purposes will be added to the change in fixed assets for tax purposes. Deferral of the recapture can arise when the replacement property rules are applied.
Ded. expenses capitalized (books)
Deductible items for tax purposes which are capitalized for books purposes will be added to the change in fixed assets for tax purposes.
Non dep. expenses capitalized (books)
Non depreciable expenses for tax purposes which are capitalized on the corporation's books will be added to the change in fixed assets for tax purposes. These items are not recognized for tax purposes.
Investment tax credits booked
Investment tax credits (ITC's) which are booked for accounting purposes will be deducted from the change in fixed assets for tax purposes. When ITC's have been deducted from fixed assets on the books, enter the amount deducted here. For tax purposes, an adjustment for the ITC's earned is required next year.
Proceeds in excess of original cost
Pre-valuation day appreciation
Pre-Valuation-day appreciation of property will be deducted from the change in fixed assets for tax purposes. For such property disposed of during the year, this appreciation is excluded from any taxable capital gain on the property although it is reflected in the proceeds of disposition for book purposes; an adjustment to remove this element from the proceeds is, as a result, required.
Book loss on disposal of fixed assets
Book gain on disposal of fixed assets
Other (specify)
Enter other items reconciling the change in fixed assets for tax to books. If the amount is to be deducted from the change for tax purposes, enter the amount as negative; if it is an addition, enter as a positive amount.
TaxProvision 