Basic information about capital cost allowance (CCA)

On this page:

Determining capital cost

Capital cost is the amount on which you first claim capital cost allowance. The capital cost of a property is usually the total of the following:

Determining CCA

There are a few other things you should know about capital cost allowance (CCA):


Last year, Abeer bought a building for $60,000 to use in her business. On her tax return for last year, she claimed CCA of $1,200 on the building. This year, Abeer bases her CCA claim on her balance of $58,800 ($60,000  $1,200).

First fiscal period is less than 365 days

If your fiscal period is less than 365 days, you have to prorate your CCA claim. Calculate your CCA using the rules discussed in How to calculate the deduction for capital cost allowance (CCA). However, base your CCA claim on the number of days in your fiscal period compared to 365 days.


John starts a business on June 1st and his first fiscal period ends on December 31st. He calculates his CCA to be $3,500.

Since John's fiscal period is only 214 days, the amount of CCA he can claim is limited to $2,052 ($3,500 × 214 ÷ 365).

Forms and publications

Related links

Page details

Date modified: