On August 1, 2020, Mr. Jimmy Bond leases an automobile that will be used 100 percent by his unincorporated business. The monthly lease payment is $797, with a total of $3,985 being paid during 2020. The manufacturer's list price for the vehicle is $61,000. Mr. Bond makes no down payment and no refundable deposit is required. Determine his maximum deduction for lease payments for 2020. Ignore GST and PST considerations.

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The Answer of On August 1, 2020, Mr. Jimmy Bond leases an automobile that will be used 100 percent by his unincorporated business. The monthly lease payment is $797, with a total of $3,985 being paid during 2020. The manufacturer's list price for the vehicle is $61,000. Mr. Bond makes no down payment and no refundable deposit is required. Determine his maximum deduction for lease payments for 2020. Ignore GST and PST considerations.