To calculate the annual Capital Cost Allowance (CCA),Canadian firms must first determine the
A) earning year.
B) fiscal year.
C) budgeting year.
D) tax year.

Question

Quizplus · Accepted Answer

The annual Capital Cost Allowance (CCA) is a tax deduction that Canadian companies can claim on eligible capital assets. In order to calculate the CCA, companies need to determine their tax year, which is generally the fiscal year that the company uses for tax reporting purposes. Therefore, the correct answer is D) tax year.

To Calculate the Annual Capital Cost Allowance (CCA),Canadian Firms Must