The GST or QST that a person was required to pay on the last acquisition of property and any improvements made thereto, after deducting any amount (other than input tax credits [ITCs] or input tax refunds [ITRs]) that the person is entitled to recover by rebate, remission or otherwise, and taking into account any depreciation. The depreciation factor is generally calculated by dividing the FMV of the property at the time of the change in use by the total cost of the property (excluding GST or QST) and, if applicable, the improvements made to the property since it was last acquired. (This fraction cannot be greater than 1.)