During 2020, your company acquired a depreciable asset for $437,000 and your accountant included this asset in Class 1 at the end of the year (it was not allocated to a separate Class 1). Early in 2021, you discover that the asset should have been allocated to Class 8. What was the impact of this error on your 2020 deductions from business income?

Question

Quizplus · Accepted Answer

The Answer of During 2020, your company acquired a depreciable asset for $437,000 and your accountant included this asset in Class 1 at the end of the year (it was not allocated to a separate Class 1). Early in 2021, you discover that the asset should have been allocated to Class 8. What was the impact of this error on your 2020 deductions from business income?

During 2020, Your Company Acquired a Depreciable Asset for $437,000