GTA Accounting Insights

Category: Real Estate Tax

Property Taxation in Ontario; How This Tax is Calculated?

Property tax raises revenue to fund different municipalities of the local government. Almost 25 percent of the property tax revenue is used to fund education in Ontario. As there are many responsibilities of the municipal finance department, certainly property taxation is one of the most important – not the least. The reason being that it…
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The First-Time Home Buyer – What are the Options Available to Buy a Home in Canada?

Before you decide to buy your home in Canada, you need to ensure that you are aware of all the options available to you and you weight out each option. Your research should be primarily focused on comparing the benefits of Buying Vs. Renting. You should also ensure that you are financially strong enough to…
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Efficient Ways for Canadians to Own A Real Estate Property in the U.S.

A mortgage is one of the most popular ways for Canadians to buy a property in the United States. The reason why Canadians are inclined to purchase a property in the U.S. is that they might want to diversify their investment portfolio, or they want to gain tax benefits, or they simply want to have…
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Rental Property for Non-Residents

What is Section 216 The real estate sector is one of the fastest-growing sectors of the Canadian economy. Income taxes in Canada are relatively high as compared to the other parts of the world. Therefore, people tend to move to gulf our other tax havens to avoid paying the Canadian tax. This can be achieved…
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Reducing Tax on Real Estate Sales in Canada

Real estate sales attract a lot of taxes that you must pay to the CRA. You have to be smart in your real estate business to ensure you minimize your taxes and maximize your profits. Most individuals in the real estate business do not know how to reduce their taxes on the sales of real…
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Tax implications for Canadians selling U.S. property

There are a few things Canadians selling their U.S property should be aware of: 1: The 15% holding tax: As a Canadian or a non-resident of the U.S., you are subject to U.S. tax laws when selling your U.S. property. Regardless of the cost of your property, a 15% tax must be paid on the sale…
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A Cautionary Tale Regarding The GST/HST New Housing Rebate

A house that is newly constructed or substantially renovated is subject to GST/HST. However, prospective buyers are able to recover part of the GST or HST under the new housing rebate if they intend to use the property as their primary place of residence. If you are planning to buy a new build, take time…
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Rent or Buy Home in Canada. What’s right for you?

There may come a time when you have to make the tough decision of renting versus owning a property. For instance, if you need to downsize because your kids have left or you feel like your current space is being underutilized, it can be tough to decide whether to rent or own another property. We’ll…
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How is Capital gains tax calculated on Real Estate in Canada?

In Canada only 50% of the capital gains are taxable. Capital gain is the difference between net sale proceeds and the purchase price of a property. We can calculate net sale proceeds by deducting commission and other selling costs, while land transfer fee, legal fee, and other closing costs can be part of the original…
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