How do I enter rental depreciation

[AAhrens]

Hi,

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

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.

[AAhrens]

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?

[Nawal]

Hi @AAhrens, you can choose to not take CCA for this year by entering $0 in "Limit to the CCA of this class".