Rawlings purchased an automobile to be used exclusively in her unincorporated business. The cost of the automobile was $49000, before GST and PST. She finances a part of the purchase price and, as a consequence, has financing charges for the period June 28, 2020 to December 31, 2020 of $3920. Ms. Rawlings has decided not to deduct any CCA this year. Ignoring any deduction for CCA, how
Rawlings purchased an automobile to be used exclusively in her unincorporated business. The cost of the automobile was $49000, before GST and PST. She finances a part of the purchase price and, as a consequence, has financing charges for the period June 28, 2020 to December 31, 2020 of $3920. Ms. Rawlings has decided not to deduct any CCA this year. Ignoring any deduction for CCA, how
Chapter9: Deductions: Employee And Self- Employed-related Expenses
Section: Chapter Questions
Problem 28P
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Question
On June 28, 2020, Ms. Annie Rawlings purchased an automobile to be used exclusively in her unincorporated business. The cost of the automobile was $49000, before GST and PST. She finances a part of the purchase price and, as a consequence, has financing charges for the period June 28, 2020 to December 31, 2020 of $3920. Ms. Rawlings has decided not to deduct any CCA this year. Ignoring any deduction for CCA, how much other costs can Ms. Rawlings deduct in 2020 with respect to this vehicle acquisition?
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