- Joined
- Jan 17, 2013
- Messages
- 1
Hi, I am new to landlord duties and what's expected of me come tax season, however I have done lots of research and feel confident I can handle it all.
I have one question I can't seem to find an answer too.
I have recently moved out of my primary residence into a small apartment and am renting out the house until I move back in in a few years. I will be sending a letter to the CRA with this years tax return based on the below link changing my principal residence to a rental business.
http://www.cra-arc.gc.ca/tx/ndvdls/tpcs/ncm-tx/rtrn/cmpltng/rprtng-ncm/lns101-170/127/rsdnc/chngs/chngngll-eng.html
My only fear is if I sell that I get stuck paying taxes on selling a rental property, even though it is my principal. Is there a way to crystalize the property value at my time of turning it into a rental property? (Dec 2012) And keeping my previous equity gains locked in and untouched if I sell down the road?
Any direction on the matter is greatly appreciated.
-Joe
I have one question I can't seem to find an answer too.
I have recently moved out of my primary residence into a small apartment and am renting out the house until I move back in in a few years. I will be sending a letter to the CRA with this years tax return based on the below link changing my principal residence to a rental business.
http://www.cra-arc.gc.ca/tx/ndvdls/tpcs/ncm-tx/rtrn/cmpltng/rprtng-ncm/lns101-170/127/rsdnc/chngs/chngngll-eng.html
My only fear is if I sell that I get stuck paying taxes on selling a rental property, even though it is my principal. Is there a way to crystalize the property value at my time of turning it into a rental property? (Dec 2012) And keeping my previous equity gains locked in and untouched if I sell down the road?
Any direction on the matter is greatly appreciated.
-Joe