Capital expenses are ones that must be categorized and deducted at the appropriate percentage each year. These expenses are upgrades to your property.

Examples include:

*New windows and doors

*New roof

*New flooring, trim, bathroom fixtures, etc.

*Refrigerator, Stove, Washer & Dryer, Dishwasher

*New vehicle used for your rentals (You can use your vehicle even if you only have one rental but you have to determine what percentage of time you use it for collecting rent and working at your property)

*New utility trailer

*Etc.

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In order to deduct these expenses from your rental income you have to claim CCA

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