Section 30 - Improving land for farming

In converting lands to a cranberry farm, "once the activities of clearing, levelling and installation of a drainage system have been completed…the costs respecting more complicated work which might be undertaken constitute capital expenses" (TaxInterpretations translation). There would need to be a reasonable allocation of the relevant costs between the cost of installing a drainage system, which would be deductible under s. 30, and the costs of an irrigation system, which would be the cost of a Class 8 asset.