That would only go part way toward matching the 100-per-cent deductions introduced under U.S. President Donald Trump’s sweeping tax reforms last year. Accelerated capital cost allowances effectively allow companies to immediately write off investments in assets like machinery and equipment. He said the business community does not expect Morneau to immediately match the U.S. on accelerated capital cost allowances, but said even a gradual shift would placate business owners. Wednesday’s fall economic statement comes amid waning business investment levels in Canada. Meanwhile, Jack Mintz, a fellow at the University of Calgary’s School of Public Policy, has warned against expanding capital cost allowances.

Source: National Post November 20, 2018 17:26 UTC