On this page, you will find information on the following:

• Automobile deduction limits
• Flipped property rules
• Information reporting
• Return of fuel charge proceeds to farmers tax credit

Automobile deduction limits

For Class 54 zero‑emission passenger vehicles (new and used) acquired on or after January 1, 2023, the prescribed amount increases from $59,000 to $61,000, before tax.

For Class 10.1 passenger vehicles (new and used) acquired on or after January 1, 2023, the prescribed amount increases from $34,000 to $36,000, before tax.

Automobile deductible leasing costs increase from $900 to $950 per month, before tax, for new leases entered into after 2022.

Flipped property rules

Starting January 1, 2023, profits from the disposition of a flipped property are fully taxable as business income, not as a capital gain. A flipped property is a housing unit (including a rental property) located in Canada or a right to acquire a housing unit (such as assignment sales) located in Canada that was owned or held for less than 365 consecutive days before its disposition, unless it was already considered inventory or the disposition can reasonably be considered to occur due to, or in anticipation of, certain life events.

For more information, go to Property flipping.

Information reporting

Taxpayers, advisors and promoters are subject to enhanced reporting requirements relating to certain transactions entered into after June 21, 2023.

For more information, go to Information reporting related to reportable transactions and notifiable transactions.

Return of fuel charge proceeds to farmers tax credit

For 2023, New Brunswick, Newfoundland and Labrador, Nova Scotia and Prince Edward Island have been added to the list of designated provinces eligible for the return of fuel charge proceeds to farmers tax credit. A self‑employed farmer, or an individual who is a member of a partnership that operates a farming business, with one or more permanent establishments in one or more designated provinces may be able to claim the return of fuel charge proceeds to farmers tax credit.

For more information on how to claim this credit, go to Return of fuel charge proceeds to farmers tax credit and Line 9951 – Return of fuel charge proceeds to farmers tax credit allocated to you in the year.