|
Typical Example: The Popular 21 Foot
Class C |
| Cash Outflow: | Deductible Expenses: | |||
| Finance Payments Insurance Service License Plates |
$ 6,921.77 $ 2,000.00 $ 250.00 $ 90.00 $ 9,261.77 |
Interest on Financing Insurance Service License Plates Capital Cost Allowance |
$ 2,781.70 $ 2,000.00 $ 250.00 $ 90.00 $ 4,630.70 $ 9,752.40 |
|
| Cash Inflow | - Cash Outflow | = Total Tax Free Profit |
| $9,752.40 | - $ 9,261.77 | = $ 490.63 |
Under the current
tax system, capital cost allowance can be used with other
allowable |