Undepreciated capital cost (UCC) of a class refers to the balance of the class at any time.
Generally, UCC is equal to the total capital cost of all properties of a class minus any capital cost allowance (CCA) claimed in the previous years. When property of the class is disposed of, you also have to subtract from the UCC one of the following two amounts, whichever is less:
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- the proceeds of disposition (POD) of the property (either actual or deemed) minus the related outlays and expenses to sell it; or
- the capital cost of the property