aiekon
Active Member
I came across the following article this morning: http://www.thestar.com/business/per...onto_condo_sales_face_tough_tax_scrutiny.html
I'm just curious as how the following would apply to me:
Here's my situation:
- I bought a pre-construction condo in January 2006
- I moved into this condo on December 2009.
- I moved into my partner's condo in December 2012 and am currently renting out mine.
If I were to sell my condo this year or next year, would I be considered as holding a principal residence? Or, would I pay tax on half a gain from selling a "rental or other investment property"?
If I am to be taxed, would I have to move back into my condo for a period of time for it to be considered a principal residence? If so, for how long?
I'm just curious as how the following would apply to me:
Canada has three tiers of tax treatment for real estate sales — no tax on a principal residence, tax on half a gain from selling a recreational, rental or other investment property, and full taxation for making a business of buying and selling — known colloquially as flipping.
Here's my situation:
- I bought a pre-construction condo in January 2006
- I moved into this condo on December 2009.
- I moved into my partner's condo in December 2012 and am currently renting out mine.
If I were to sell my condo this year or next year, would I be considered as holding a principal residence? Or, would I pay tax on half a gain from selling a "rental or other investment property"?
If I am to be taxed, would I have to move back into my condo for a period of time for it to be considered a principal residence? If so, for how long?