Don't Let the Year 2000 Bug You

Let me Help You

Select an accounting System

The year 2000 is rapidly approaching and the need to consider everything from your telephone system, burglar alarm, elevator and most importantly to me as an accountant .... your accounting needs.

Ensure that the software you are using is Year 2000 ready.

Tax Relief

** Now extended to Oct 31, 1999 **
 
 

Revenue Canada has announced Tax Relief by providing accelerated capital cost allowance deduction being provided to small- and medium-sized businesses:  Specifically, expenditures
made only to ensure functionality in the year 2000 (i.e., a repair) are fully deductible in the year
incurred. In these instances, taxpaying firms would be provided with immediate tax relief.

Specifically, an accelerated CCA deduction will be provided to small- and medium-sized enterprises
on the cost of computer hardware and software acquired between January 1, 1998 and June 30,
1999 (and extended to October 31, 1999) in order to replace equipment that is not year 2000 compliant.

For eligible computer hardware and software, accelerated CCA deductions, combined with the
regular CCA claims, will result in 100 per cent of the cost of eligible expenditures being deductible in
the year of acquisition.

Revenue Canada will accept an election, supported by a letter, filed with the tax return, that identifies
the eligible property being acquired, its cost and the date of acquisition and a description of the
property being replaced. This letter will fulfil the requirement to make an election in prescribed
manner.    For additional information see Revenue Canada website.

Accounting software

Check out the links to some of the accounting areas.

(c) 1998 Sam Seidman, CA - Chartered Accountant, Toronto, Ontario Canada.      All rights reserved.