You might acquire a depreciable property, such as a building, furniture or equipment, to use in your rental activity.

You cannot deduct the cost of the property when you calculate your net rental income for the year. However, since these properties may wear out or become obsolete over time, you can deduct their cost over a period of several years. The deduction is called capital cost allowance (CCA).

Forms and publications

• Guide T4036, Rental Income
• Form T776, Statement of Real Estate Rentals