Income Tax Regulations (C.R.C., c. 945)

Regulations are current to 2015-05-11 and last amended on 2015-03-13. Previous Versions

PART XVIPRESCRIBED COUNTRIES

 For the purposes of subsection 10(4) of the Income Tax Application Rules, the following countries are hereby prescribed:

  • (a) Commonwealth of Australia;

  • (b) Kingdom of Denmark;

  • (c) Republic of Finland;

  • (d) French Republic;

  • (e) Federal Republic of Germany;

  • (f) Ireland;

  • (g) Jamaica;

  • (h) Japan;

  • (i) Kingdom of the Netherlands;

  • (j) New Zealand;

  • (k) Kingdom of Norway;

  • (l) Republic of South Africa;

  • (m) Kingdom of Sweden;

  • (n) Trinidad and Tobago;

  • (o) United Kingdom of Great Britain and Northern Ireland; and

  • (p) United States of America.

  • NOTE: Application provisions are not included in the consolidated text;
  • see relevant amending regulations. SOR/94-686, s. 48.

PART XVIICAPITAL COST ALLOWANCES, FARMING AND FISHING

[SOR/86-1092, s. 9(F)]

Division IDeductions Allowed

Rates

  •  (1) For the purposes of paragraph 20(1)(a) of the Act, there is hereby allowed to a taxpayer, in computing his income from farming or fishing, as the case may be, a deduction for each taxation year in respect of each property that was used for the purpose of gaining or producing income from farming or fishing equal to such amount as he may claim, not exceeding in the case of

    • (a) a building or other structure, not described elsewhere in this subsection, including component parts such as electric wiring, plumbing, sprinkler systems, air-conditioning equipment, heating equipment, lighting fixtures, elevators and escalators, 2 1/2 per cent,

    • (b) a building or other structure of

      • (i) frame,

      • (ii) log,

      • (iii) stucco on frame,

      • (iv) galvanized iron, or

      • (v) corrugated iron,

      construction including component parts such as electric wiring, plumbing, sprinkler systems, air-conditioning equipment, heating equipment, lighting fixtures, elevators and escalators, 5 per cent,

    • (c) a fence, 5 per cent,

    • (d) a scow or a vessel, including furniture, fittings or equipment attached thereto, but not including radiocommunication equipment, 7 1/2 per cent,

    • (e) nonautomotive equipment and machinery, 10 per cent,

    • (f) automotive equipment, a sleigh or a wagon, 15 per cent,

    • (g) radiocommunication equipment, 15 per cent,

    • (h) tile drainage acquired before the 1965 taxation year, 10 per cent,

    • (i) a water storage tank, 5 per cent,

    • (j) a gas well that is part of the equipment of a farm and from which the gas produced is not sold, 10 per cent, and

    • (k) a tool costing less than $100, 100 per cent,

    of the depreciable cost to the taxpayer of the property.

Taxation Years Less Than 12 Months

  • (2) Where a taxation year is less than 12 months, the amount allowed as a deduction under subsection (1) shall not exceed that proportion of the maximum amount otherwise allowable that the number of days in the taxation year is of 365.

Property Disposed of During Year

  • (3) Where a taxpayer has disposed of a property before the end of a taxation year, the amount allowed as a deduction under subsection (1) in respect of that property for the year shall not exceed that proportion of the maximum amount otherwise allowable that the number of months in the taxation year during which the property was owned by the taxpayer is of 12.

Leasehold Interest

  • (4) Where a taxpayer has property that was used for the purpose of gaining or producing income from farming or fishing and that would be included in Class 13 in Schedule II if he had claimed an allowance under Part XI, he may deduct, in computing his income from farming or fishing for a taxation year, an amount not exceeding the amount he could have deducted in respect of that property for the year under paragraph 1100(1)(b).

  • NOTE: Application provisions are not included in the consolidated text;
  • see relevant amending regulations. SOR/78-377, s. 10.