Schedule 8 Immediate Deduction 2021 Federal Budget

Forum|Forum|4 years ago
October 26, 2021
2 replies
6 views

The 2021 federal budget allows for the immediate deduction of some depreciable property acquired after April 19, 2021. Has Profile been updated to allow for this change? It could impact an April 30, 2021 year end which has to be filed by October 31, 2021, so if it hasn't been updated this is surprising? I don't see anything about this topic in the community and schedule 8 does not appear to accomodate this in version 2021.0.5.

Thanks

ProFile (Canada)

This topic has been closed for replies.

F

forjack

Level 2

I understand that the CRA will not allow this deduction until legislation is passed. Once it is passed, it will be possible to file an amended return to claim this deduction.

L

lindamacp

Level 2

Has this immediate expensing been reflected in Profile yet in both Schedule 8 and also in RAC Details for the purposes of allocating the $1.5 million among related companies?

T

todd29

Level 3

I have been trying to find out how to do this on Profile as well.

When I enter the addition into the AIIP box, it does not take an immediate expense.

Are we supposed to calculate and override the CCA claim?

P

Pro4

Level 8

Hi

ProFile 2021.5.0 has made changes to accommodate immediate expensing. There is a discussion related to DIEP in the 2021.5.0 release notes. Although schedule 8 is not updated in 2021.5.0 , it is CRA certified to allow immediate expensing. Schedule 8 will be in a later version of ProFile once we receive the CRA certification. An example of a claim is shown in this screenshot:

With the entries above, line 17 will show $10,000 , thus immediately expensing the asset. Notice the warning to not exceed the limit for the year, ProFile does not track the total DIEP claims for the year. Refer to the What's new in ProFile menu, Online > Update information, for more information.

Hope this helps

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