Rental income operating cost and capital cost

[shriram 1]

I have a rental and I bought a new stove. In ufile where do I input this as. Also if I install a new roof, is this considered operating cost or capital cost. How do I enter enter this expense in ufile

[netfiler 0]

These are capital costs, if you opt to claim capital cost allowance (CCA). I believe a new roof should be under class 1 (includes capital repairs), and a new stove should be under class 4 (includes appliances), but please check with a tax expert. Here's a brief description of the classes: http://www.cra-arc.gc.ca/tx/bsnss/tpcs/slprtnr/rprtng/cptl/dprcbl-eng.html

 

HOWEVER, UFile is not calculating my CCA properly. It's capping out my claim amount using half of the proper cap amount, or using half of the net rental income as the cap amount. Luckily I checked against my own calculations and noticed UFILE IS WRONG, or I would have unknowingly submitted false tax returns.

 

I sent in a help request to UFile. I'm anxious to complete my returns and am waiting for a response.

 

Good luck.