Plain meaning
A tax deduction system that allows businesses and some property owners to deduct the cost of depreciable property over time.
Also called
accelerated investment incentive
CCA
Key points
- CCA allows businesses and some property owners to deduct the cost of depreciable property over time.
- Assets are grouped into prescribed classes, each with its own deduction rate.
- CCA is usually discretionary, meaning a taxpayer may claim less than the maximum available amount.
- Special measures can accelerate deductions for certain assets or policy priorities.
Why it comes up
CCA changes affect investment decisions, business taxable income, rental-property reporting, and budget measures for productivity.