CCA Flowchart

Questions to ask when calculating CCA

Capital Asset ?

Yes No

Expense in current period.

Add to CCA pool

disposition??- LOCP

Is there disposition
take out LOCP Calculate UCC for pool

Positive Negative

Assets left? Recapture

Any time a pool goes into
a negative amount, the
Yes No amount must be brought into
income in the current year
Leave it - take CCA next year terminal loss Note: It does not matter if there
deduct amount left in are assets remaining in pool
pool from income in or not
current year Taken too much CCA for that pool.