Data network infrastructure: eligible
Data network infrastructure equipment (Class 46) got immediate expensing in Budget 2025 and keeps it under the Mega Deduction.
Examples of networking and data infrastructure
- switches, routers and firewalls
- structured cabling and fibre runs inside your premises
- wireless access points and controllers
Planning tip
Installation labour for cabling is part of the capital cost of the network.
CCA Class 46 · regular rate 30% declining balance · half-year rule normally applies in year one.
Calculate the deduction on networking and data infrastructure
Worked examples (Ontario)
| Purchase | Old year-one deduction | New year-one deduction | Tax reduction, small business rate | Tax reduction, general rate |
|---|---|---|---|---|
| $25,000 | $3,750 | $25,000 | $2,800 | $6,625 |
| $100,000 | $15,000 | $100,000 | $11,200 | $26,500 |
| $250,000 | $37,500 | $250,000 | $28,000 | $66,250 |
Data network infrastructure by province
- Data network infrastructure in Alberta
- Data network infrastructure in British Columbia
- Data network infrastructure in Saskatchewan
- Data network infrastructure in Manitoba
- Data network infrastructure in Ontario
- Data network infrastructure in Quebec
- Data network infrastructure in New Brunswick
- Data network infrastructure in Nova Scotia
- Data network infrastructure in Prince Edward Island
- Data network infrastructure in Newfoundland and Labrador
- Data network infrastructure in Yukon
- Data network infrastructure in Northwest Territories
- Data network infrastructure in Nunavut
Free: the Year-End Purchase Checklist (PDF)
One page. What qualifies, what does not, the 'available for use' trap, and the seven questions to ask your accountant before you buy. No spam, unsubscribe any time.
The Mega Deduction Year-End Playbook
Everything you need to walk into your accountant's office with a plan instead of a question. Built for owner-managed Canadian businesses that expect a profitable 2026.
- Excel purchase planner with every province's rates and every CCA class pre-loaded. Model up to 12 purchases, see the year-one deduction, tax reduction and 10-year comparison for each.
- The 41-page Playbook (PDF): eligibility by asset class, the exclusions, 'available for use' rules, financing vs. leasing, recapture risk, CCPC vs. sole proprietor, and worked examples for 12 industries.
- Accountant brief template (Word): a one-page memo you fill in and send so your accountant can confirm the plan in one email instead of a meeting.
- 30-day action plan for purchases that must be delivered and installed before your fiscal year-end.
$97$47 CAD one-time, instant download
Secure checkout by Stripe. Files delivered immediately after payment. Not tax advice; every plan should be confirmed by your accountant.