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New Trudeau Tax on Home?

MonicaPaslawski

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Nov 27, 2010
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98
I have always been under the impression that was always the case, although I did not think it was ever actually enforced. We have always claimed our office space against our farm, so I'm kind of expecting some tax at the end of the day. Forcing people to declare the sale of their personal residence will definitely make this trackable and collectible.
 

Thomas Beyer

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Aug 30, 2007
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13,881
Indeed much of it is not new, just not enforced. For example, if you rent your basement that too was not eligible for capital gains exemptions on house sale, but again, was rarely, if ever, reported. Much tax leakage in Canada in real estate, incl. flips by locals, immigrants and foreigners alike. Theft from the crown is rampant in that folks "forget" to declare it or chose not to as it is so poorly tracked. That to me is the biggest change. The tracking.

Expect more audits and crack down: http://business.financialpost.com/n...of-money-aimed-at-cracking-down-on-tax-cheats and certainly in BC, pushed by housing critic David Eby who happens to to be my MLA and who happened to beat Christy Clarke in 2013. http://www.straight.com/news/633536...ength-probe-allegations-involving-real-estate .. and who may at some point end up as Premier of BC. NDP leading in the polls btw for the May BC election. YIKES !

Another exploited loophole is "farmland" http://www.theglobeandmail.com/news...l-estate-in-british-columbia/article32923810/ to get around the 15% foreigner tax. Also - not sure if new - only 0.5 hectares (about 1.24acres) are allowed tax free as a residence on a farm when used personally. https://bcrealestatelaw.com/2012/04/13/agricultural-and-farm-property-special-considerations/
 
Last edited:

ChrisDavies

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Feb 18, 2008
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1,284
That's been par for the course for a long time, same with selling a farm - only the house and the 5ish acres around it are exempt, the rest is capital.
 
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