I don’t think we are derailing the op question and I agree constructive debate is a good thing.
I am a senior rfma holder and licensed accountant.
When you buy a trap line you buy the assets ie tangible assets like cabins equipment and snogos and atv maps and bridges. So there is no intangible components of value. it’s easily defendable when the provincial legislation states you are not able to purchase anything except the improvements. As long as it’s third party sale cra cannot argue what fair value “should be”. A RPT may have fmv considerations.
The provincial cabin requirements mandate that all cabins must be temporary and movable as attached
https://www.albertatrappers.com/_fil...59613c812a.pdf
This makes them Mobile homes. You can read about how we were audited and then went to Court regarding requirements of mobile homes here
https://taxinterpretations.com/cra/s...2008-0296531i7. (Landsdowne vs cra) They teach this in the cpa cpd tax courses and is well accepted and easy to defend when audited.
Cca is a discretionary deduction so you can claim less than the maximum amount allowed. In some assets like real estate rental or restricted farming you cannot create a loss with cca, this is not the case with an active business like trapping. This means that you can deduct losses against other sources of income.
If you want to assign value to intangible assets I guess you could but why would you want take 5% deduction when you can get 30%.?
SS