[Verse 1] When Sarah bought her factory machine for quite a price She wondered how to write it down, she needed some advice The government said "don't expense it all today my friend Use CCA and spread the cost until the asset's end" [Chorus] Classes, rates, and declining balance too Eight percent for buildings, twenty for trucks so new Recapture when you sell above the UCC Terminal loss when less remains, that's your CCA spree [Verse 2] Class One holds the buildings at four percent decline While Class Ten grabs computers at thirty percent line Half-year rule applies when assets join the crew Only half the normal rate for year one, that's what you do [Chorus] Classes, rates, and declining balance too Eight percent for buildings, twenty for trucks so new Recapture when you sell above the UCC Terminal loss when less remains, that's your CCA spree [Verse 3] UCC starts fresh with purchase price so clean Subtract the CCA each year from this accounting scene When disposal comes and proceeds cross the line Above UCC means recapture, income you must assign [Bridge] Terminal loss appears when class goes negative All assets sold but balance still remains positive Add it to your business loss, deduction you can claim While recapture flows to income, taxable by name [Chorus] Classes, rates, and declining balance too Eight percent for buildings, twenty for trucks so new Recapture when you sell above the UCC Terminal loss when less remains, that's your CCA spree [Outro] From purchase price to disposal day CCA smooths depreciation's way Remember rates and class designations For proper tax calculations
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