Finance will expand its green incentive to include more zero-emission vehicles & equipment
Finance announced it will propose a temporary enhanced first-year capital cost allowance (CCA) rate of 100% for qualifying zero-emission off-road automotive vehicles and equipment, acquired on or after March 2, 2020. The enhanced rate will apply to qualifying vehicles and equipment that do not currently benefit from the enhanced CCA for zero-emission motor vehicles, which was introduced in the 2019 federal budget. The 100% CCA rate will gradually be phased out for vehicles and equipment that become available for use after 2023, until it eventually expires in 2028. Taxpayers will only be able claim the enhanced allowance for the taxation year in which a qualifying vehicle is first available for use.
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