Commercial & AppraisalAdvanced

What Is Capital Cost Allowance?

Capital cost allowance is the Canadian tax system's equivalent of U.S. depreciation — an annual deduction that lets property owners write off the cost of a building and certain other assets over time against rental or business income.

Most useful for: Commercial Investor

At a Glance

Capital Cost Allowance

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Definition

Plain-English meaning

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Related Terms

2 connected concepts

Related Terms

Cost Recovery Depreciation

More Commercial & Appraisal Terms

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This definition is provided for general educational purposes and is not financial, legal, tax, or real estate advice. Verify important decisions with appropriately qualified professionals.

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