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Rounding CCA to nearest dollar on T1


#1

@snoplowguy @Arliss @james1 @BertMulderCGA

We’re thinking of providing an option to round CCA to the nearest dollar on T1 files. We’d have one place in the file to set the options for all CCA schedules… Should it be on the Info form, the Optimizations worksheet, the statement summary, or somewhere else?

Of course we’d also create a new file default to set up the option the way you usually like it when you create the file.

Thoughts??

~ Cameron


#2

I would think most would stay consistent in their approach so I am not sure it matters that much once we set our default. I am thinking though that the statement summary might make the most sense of those choices.


#3

Still good with the statement summary considering that the rounding of CCA will also affect the Partner CCA on the business statements as well as T777CCA?

~ Cameron


#4

To be honest I never thought much about it. I have very few partnerships and employment expense clients though so I will defer to others wishes.


#5

I have always treated the CCA schedules on the T776, T2125, T2042, T777 etc the way we treat the T2 Schedule 8. I only ever put in whole numbers for additions/disposals, and only ever take whole numbers for CCA. Personally, I have never run into any issues on any business statements, or partnership statements.

For Automotive statements (T777) or Automotive CCA on a business statement that has a personal use factor, I do the same thing (rounded to the nearest dollar CCA) but the actual CCA allocated to business normally ends up with cents because it is the rounded CCA figure multiplied by business km’s over total km’s.

For the record, I can certainly live with whatever you guys decide to do @Cameron, which also includes not changing anything at all, as this is not likely a terribly important issue, and it may take away from concentrating resources on more important things.

If you were to do this, the Optimizations area would certainly work, also the “CCAClaim” area works too where you specify the CCA Claim order, CCA on buildings etc. Of course, if it was located in the CCAClaim area, you might need a global default setting of “on or off” somewhere else in the options configuration, which the user would set based on their preference, as each statement has its own CCAclaim area. Of course, just a Global on or off (rounded or exact CCA) setting in Options area might do the entire trick too.

What I might envision is when I went to the CCAClaim area of lets say the T776 there would be a question that says round CCA to the nearest Dollar which would or would not automatically be pre-populated with a check mark based on Options configuration.

Once again, not a terribly important option, but I like it because I have always hated cents on a T1 CCA schedule.


#6

This topic is something that presumably is not overly important to most users, and there may only be a few users who wish to use rounded figures on their CCA Schedules. While that may be the case, I’m sure there are instances where others wished to take a different (reduced) amount of CCA from the standard rates, and perhaps something different than what is offered in the T2125Claim. I believe this would require an “over ride” in the T2125Asset area.

Is there any way to reduce the amount of diagnostic flags tripped by over-riding the amount of CCA claimed on each asset? Each over-ride of CCA on any business, farm, or rental schedule triggers no less than 4 diagnostic messages, and, unlike some other diagnostic messages, none of these have the option to be turned off with the “Never show this message for any clients”.

Here is a screenshot of what I am talking about. I altered CCA amounts for 2 assets in the T2125Asset screen. This triggered 8 diagnostic warnings.

If these warnings are a way of strongly encouraging me to never claim anything different than what Taxcycle wishes then this tactic is working very well…lol.

Otherwise, is there any way of neutering this down to perhaps one message per over-ride? Too many diagnostic messages and one begins to lose track of which ones are actually important.


Cca - t1 & t2