Capital Cost Allowance (CCA) is often described as a “tax deduction.” That description is incomplete. CCA is not a permanent deduction. It is a deferral. And when a rental property is sold, that deferral can reverse — sometimes aggressively. If…
Owning rental property can build wealth. But it also creates tax obligations. Each year, landlords must report: Gross rental income Minus deductible expenses Equals net rental income (or loss) The governing rule for deductibility is found in Income Tax Act…
For decades, Canadians sold their homes tax-free and simply moved on. Today, that assumption can be dangerous. Since 2016, reporting the sale of a principal residence is mandatory — even if the entire gain is exempt. If you sell a…
You bought a home and later turned it into a rental. Or you owned a rental property and moved into it. Or your cottage became an Airbnb. Many Canadians assume: “I didn’t sell it — so there’s no tax.” Under…
For years, Canadians relied on the Principal Residence Exemption to sell a home tax-free. Then the federal government introduced a bright-line rule. Now the question is no longer just: “Was this my principal residence?” The question is: “Did I own…
Buying your first home is exciting. It is also expensive. Beyond the purchase price, there are: Legal fees Land transfer taxes Moving costs And — if it is a new home — GST (or the federal portion of HST) Many…
When the Underused Housing Tax (UHT) was introduced, it created immediate concern. Foreign ownership. Vacant properties. New annual filing requirements. Then came amendments, exemptions, and relief measures. So the question many property owners now ask is: Is the Underused Housing…
Post-secondary tuition is expensive. For many families, a common question arises at filing time: “My child didn’t use all of their tuition credits — can we transfer them?” The answer is yes — but only within strict statutory limits. Tuition…
The federal government has introduced the Canada Disability Benefit (CDB) to support low-income working-age persons with disabilities. For families receiving it — or expecting to — the first tax question is simple: Is the Canada Disability Benefit taxable? The short…
Caring for an aging parent. Supporting an infirm spouse. Helping an adult child with a disability. Many Canadians assume there is a single “caregiver credit.” There is not. What exists under the Income Tax Act (ITA) s.118(1) is a framework…