Capital Allowances and Recoupments Flashcards
1
Q
What is a capital allowance?
A
2
Q
What is a recoupment?
A
3
Q
What considerations must one account for when considering capital allowances?
A
4
Q
what considerations must one account for when considering recoupments?
A
5
Q
What are the tax implications when you make improvements to your leasehold beyond what you were told to do in terms of money and actual building?
A
section 13 maybe? of the ITA
- if the building is used for manufacturing, you can claim a 5% allowance every year on the extra cost you paid (idk if its apportioned)
- if it is not used for manufacutring, you cannot claim anything I think
- you will need to confirm this one
6
Q
What capital allowances are available for Patents?
A
Section 11(gC)
- they will be entitled to an allowance of 5% on the deemed expenditure
