On November 21, 2018, the Government of Canada released its 2018 Fall Economic Statement. The Statement is highlighted by the Government’s intention to allow accelerated tax write-offs for certain types of depreciable property. The full cost of machinery and equipment used in the manufacturing and processing of goods, as well as specified clean energy equipment, will be deductible in the year the equipment is purchased. This is a dramatic change from the current regime, where such property is generally written off over a period of several years.
Other tax measures announced in the Statement include an extension of the 15% mineral exploration tax credit until 2024, the introduction of a tax credit for individuals who subscribe to eligible Canadian digital news media, and access to charitable tax credits for certain news organizations.
Further details on these proposed measures will be released in Budget 2019.