[Verse 1] Sarah bought a laptop and some cables for her biz Wonder how to claim them when the tax season hits One costs fifteen hundred, one was twenty-nine Different rules apply to each, let me break it down in rhyme [Chorus] Current goes right now, capital takes time Short life, low cost, deduct the whole line Big stuff, long lasting, spread it through the years CCA's the way, make those savings clear Current goes right now, capital takes time Know the difference and you'll be just fine [Verse 2] Mouse and keyboard, software under fifty bucks Phone chargers and cables, claim them with no fuss These are current expenses, useful life is short Deduct them fully this year on your tax report [Chorus] Current goes right now, capital takes time Short life, low cost, deduct the whole line Big stuff, long lasting, spread it through the years CCA's the way, make those savings clear Current goes right now, capital takes time Know the difference and you'll be just fine [Verse 3] Desktop computer, printer, office chair Monitor and phone, furniture with flair These are capital items, built to last for years Break them down through CCA, that's how it appears [Bridge] When in doubt remember this simple little test Will it last beyond a year and cost more than the rest If yes then it's capital, spread out the deduction If no then it's current, full year cost reduction [Chorus] Current goes right now, capital takes time Short life, low cost, deduct the whole line Big stuff, long lasting, spread it through the years CCA's the way, make those savings clear Current goes right now, capital takes time Know the difference and you'll be just fine [Outro] Plan your purchases wisely, know which rule applies Current or capital, keep those taxes low and fly high
← 3 What Counts as Business Driving | 2 Immediate Expensing Rules →