Jump to content
Français

How do I enter rental depreciation


AAhrens

Recommended Posts

Hi,

So this is my second year with a rental property. The first year I entered the following:

image.thumb.png.94b67c408aedf61f2e961242cc2b18de.png

This seems to have been carried forward. But now how do I include for depreciation for the 2020 tax year? I know I need to select "No" to he half year rule, and I understand why my ACB has not changed and will not change unless I make an improvement. But changing the $246,000 on the first line item does nothing in the T776 document after review. I would have thought this is where I would depreciate it? I also understand I can limit the depreciation if I only want to depreciate a bit. Note that my Rental Income - Expenses was $800 for the year.

Link to comment
Share on other sites

I did some more playing around and I think I may understand this a bit better. The "Portion (%) of CCA used for business or employment" I assume is 100% in my case? If I do this it seems to populate the T776. I had assumed I would only use this if the rental property was a full time business, but I think I understand now that if I was a live in landlord this would be 50%, but it's 100% since I do not live there and it's a second residence. Then I assume I should set the "Limit to the CCA of this class" to my rental income - expenses at $800, but it appears to do this automatically? Or I can adjust this to less if I wish not to depreciate?

Link to comment
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

Loading...
×
×
  • Create New...