Declare the full amount of capital expenses for the last year of my rental property?

[flash_os]

Where should I declare the full amount of capital expenses (siding replacement) on uFile for the last year of my rental property?

[Geo123]

Hello flash_os,

In Ufile go to the T776 >> CCA

T776 CCA Addition
Example :
Description of the asset:  MyRentalBldg-
Opening balance of the undepreciated capital cost $100,000.00
 To whom the CCA should be allocated < - - -LEAVE AS NULL
 Portion (%) of CCA used for business or employment < - - -LEAVE AS NULL
 Purchase date of the property 01-01-2019
ACB of the depreciable capital property in this class $100,000.00
 Limit to the CCA of this class
Description and amount of capital additions (other than AIIP): < - - -SELECT THIS ONE
[Aluminum Siding]   [ $10,000.00]
Description and amount of capital additions of AIIP:
Application of half-year rule to current year additions  Yes

T776 – p3 Area A – ½ year rule applied  ok

[flash_os]

Thanks.

• What should I enter in Limit to the CCA of this class?
• How should I fill these fields since I sold my property this year with siding on it. And I completed Capital Gain form for Real estate.
• And what do you mean by: T776 – p3 Area A – ½ year rule applied  ok

[Geo123]

Hello flash_os,

Please see below.

What should I enter in Limit to the CCA of this class?

>>You must determine this. 

How should I fill these fields since I sold my property this year with siding on it. And I completed Capital Gain form for Real estate.

>>It is added to the Average Cost Base (ACB) at time of sale.

And what do you mean by: T776 – p3 Area A – ½ year rule applied  ok

>>The addition in the current year had the 1/2 year rule properly applied to the CCA schedule. 

 

[flash_os]

I sold that property on 2022.
Where should I declare on CCA about sale price?

Have to notice, I reported about that gain on Capital Gains and ABIL page.

Thanks.

[Geo123]

Hello flash_os,

You do not claim CCA in the final year.

As an example of a Rental Sale  >>T776 >> Class 1 - 4%

Description of the asset: MyRentalSoldBldg QC

Proceeds of disposition of an asset[ $120,000.00] QC
ACB of the disposition [$100,000.00] QC
 

Description and amount of expenses associated with the disposition of assets: [Broker and legal] [$5,000.00] QC
 

Calculate the capital gain and carry the result on schedule 3 [Calculate capital gain] QC
 

Did you liquidate all assets in this class? QC [Yes OR NO]
 

[flash_os]

Thank you Geo123
So should be like this?

[Geo123]

Hello flash_os,

It appears to be correct.  Please also verify schedule 3 (Quebec Schedule G) Capital Gains schedule