Canada Revenue Agency (CRA) Full Expensing for Manufacturers and Processors
Description:
The Full Expensing for Manufacturers and Processors allows businesses to immediately write off the full cost of machinery and equipment used for the manufacturing or processing of goods, subject to the Capital Cost Allowance (CCA) rules.
Comments on Funding:
Machinery and equipment currently qualify for a temporary accelerated CCA rate of 50% calculated on a declining-balance basis under class 53.
These assets would otherwise be included in class 43 and qualify for a CCA rate of 30%.
If applicants acquire property after November 20, 2018, and it becomes available for use before 2028, it will be eligible for an enhanced first-year allowance. The enhanced allowance will initially provide a 100% deduction, with a phase-out for property that becomes available for use after 2023.
Eligibility:
Applicants must:
Other Things to Note:
The enhanced allowance will initially provide a 100% deduction, with a phase-out for property that becomes available for use after 2023.
Program Contact:
When It Ends:
Ongoing
Deadline:
Rolling deadline