Dealing with Canadian real estate owned by a non-resident? Know the process to ensure you avoid costly errors

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Non-resident individuals and corporations have recently invested in a high volume of Canadian real estate properties. Despite the high number of non-resident owners, many professionals in the real estate industry, including brokers, agents and lawyers, are unaware of the extensive taxation responsibilities of vendors and purchasers when a non-resident of Canada is selling Canadian real ….

Financial opportunities abound in Canadian cannabis market

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Cannabis, commonly known as marijuana, is currently legal to use for medical purposes in Canada. The upcoming legalisation of recreational cannabis in Canada has created global interest in this new market. Since 2001, the use of cannabis for medical purposes has been legal in Canada. In July of 2018, the Canadian Government is expected to ….

Maximize your real estate investments in 2018: Our top 10 financial management tips

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While 2017 saw a bit of a slump for residential properties in Canada, certain markets remained strong (Vancouver, for instance), while investment properties across the country were largely cushioned from the blow. Beginning in Q2 of 2017, Toronto residential real estate was among the hardest hit, impacting many of our clients. As 2018 progresses, a ….

Canadians’ investment in U.S. real estate after tax reform

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Amid sizzling real estate markets in places like Toronto and Vancouver that have driven prices North of the border sky high, Canadians have been looking South for opportunities to profit on better values in real estate investments. Recent changes to the U.S. tax law should cause Canadians who are organizing U.S. real estate partnerships and ….

Recent U.S. tax reform impacts Canadians doing business in the U.S.

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The recent U.S. tax reform has provided Canadian-based multinational businesses some powerful incentives to shift production to the U.S. – lowered tax rates, particularly for U.S. exporters, and accelerated write offs for capital investments – are sending the message that the U.S. is open for business again. In Part 1: Recent U.S. tax reform impacts ….

2018 Federal Budget Commentary

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Income taxes and capital gains rates unchanged in 2018 Federal Budget Finance Minister Bill Morneau released his third budget (the “Budget”) on February 27, 2018 (the “Budget Date”). The Budget forecasts a deficit of $18.1 billion, which is improved from the fall economic statement estimate of $18.6 billion. Canada’s current net debt to GDP ratio ….

Take advantage of CRA’s Current Voluntary Disclosure Program before the less taxpayer friendly “New VDP” kicks in March 1

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Canadian taxpayers are often afraid of facing the Canada Revenue Agency (CRA). They might have knowingly submitted incorrect information on their tax returns, mistakenly left out income, or because of bad recordkeeping, provided incomplete information on past returns. What many Canadians don’t know is the CRA has a Voluntary Disclosure Program (VDP) which has been ….

Act now before April 1: CRA prescribed rate hike not an April fool’s joke

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The Canada Revenue Agency’s (“CRA’s”) prescribed interest rate has remained largely unchanged at 1% per annum since April, 2009.  This low interest rate environment will likely come to an end on April 1, when the prescribed interest rate is expected to increase to 2% per annum. While a 1% hike may not seem like much, ….

Recent U.S. tax reform impacts U.S. citizens living in Canada

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The U.S. is in the process of enacting the broadest change to its tax system since 1986.  Rather than analyzing each change, the following 2-part series will focus on the changes impacting U.S. citizens living in Canada, and the changes impacting Canadian based multinationals doing business or investing in the U.S. Part 1: Changes impacting ….

Do you rent out your home? Are you self-employed with a home office and selling your primary residence? Know these facts and save on tax!

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Do you rent out your home or claim home office expenses as a self-employed individual? One of the most well-known provisions in the Canadian Income Tax Act (“ITA”) allows taxpayers selling their Principal Residence (subject to certain conditions and criteria) to be exempt from any potential income tax on the capital gain realized on its ….