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I need a car for work and wanted to know the tax advantages or disadvantages of purchasing versus leasing a car?

April 26, 2017advantages car disadvantages leasing purchasing tax versus

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I need a car for work and wanted to know the tax advantages or disadvantages of purchasing versus leasing a car?

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If you lease, you can deduct your lease payments up to a maximum of $800 per month plus GST/HST/PST. If you purchase, you can deduct capital cost allowance (CCA) at a rate of 30% per year (15% in the first year). You cannot claim CCA to the extent that the cost of your car exceeds $30,000, plus GST/HST/PST. Interest charges can be claimed up to a maximum of $10 per day. Regardless of whether you lease or purchase, you must prorate the total amount by the ratio of employment use to total use.