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My understanding is that if your sale price is higher than your ucc, you have to add that amount to your income as a recapture of capital cost allowance.
Basically, you sold it for more than the amount you depreciated it down to through the capital cost allowance.
-Bought for 300000
-Used capital cost allowance to reduce tax payable each year, ucc value now 186000
-Sold for 280,000 so now you pay tax on the difference.
Essentially, you deferred paying tax on the cca amount each year; depending on your income bracket of those years this may have been a good thing, but if you are in a higher bracket now, then it was not a good thing. You do get a $20,000 capital loss claim though.
Definitely check this out with a financial guy; I'm a fireman, not really a numbers guy.
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