Sentences with phrase «claiming as your principal residence»

So, you need to pick which property you'll be claiming as your principal residence for tax purposes, as only one home can be designated principal residence for any given year.

CRA Requirements — Canada Revenue Agency will require all taxpayers to report the sale of property or properties where the Capital Gains Tax exemption is claimed as a principal residence.

This is because you only own half the cottage and unless the capital gain is a large one, claiming it as your principal residence may open you up to a much larger tax bill on the sale of your home.

Not exact matches

«If you claim part of your home as business usage, I can see them perhaps taxing a portion of the principal residence when you sell,» says Bell.

But homeowners may exclude from taxable income up to $ 250,000 ($ 500,000 for joint filers) of capital gains on the sale of their home if they satisfy certain criteria: they must have maintained the home as their principal residence in two out of the preceding five years, and they generally may not have claimed the capital gains exclusion for the sale of another home during the previous two years.

Mr Maples claimed the maximum second home allowance possible while registering the RAC in London's Pall Mall as his principal residence.

That's because the CRA allows you to claim any property you own in Canada as a principal residence, as long as you ordinarily inhabit that property.

From what I've read: In Canada, for tax purposes, a family unit (i.e. you, your spouse, and your dependent children) can only claim one property as principal residence, for the purpose of claiming the principal residence capital gains exemption.

If you do not claim depreciation, your entire house may be regarded as your principal residence (see topic 107) and any gain realized on its eventual sale may be tax - free.

The sale of your home should likely be a tax - free transaction as you can probably claim the principal residence exemption.

A taxpayer and their spouse are entitled to designate a property as their principal residence and claim a capital gains exemption for some or all of the years that it was owned by them.

So if you owned a property of your own any time between 1994 and 2013, you can only claim one of those two properties as your principal residence.

By filling out the CRA's «subsection 45 (2) election» form you can claim the rental property as your principal residence and avoid paying capital gains on it for four years after you've left it, says Gerb.

Fifth: You can claim any property you own and «ordinarily inhabit» as your principal residence, thereby allowing you to shelter the appreciation profit of one property, while paying tax on another property that has not appreciated quite as much.

The daughter will have to pay half the capital gains due (unless she can claim the house as her principal residence), an amount far greater than $ 7,000.

«If you claim part of your home as business usage, I can see them perhaps taxing a portion of the principal residence when you sell,» says Bell.

If instead you buy another home and move into it while claiming the rental property as your principal residence, then you will expose yourself to capital gains taxes on the new home.

As discussed above, paragraph (c. 1) of the definition of principal residence in section 54 of the Act enables a trust, in effect, to claim the principal residence exemption if very specific conditions are met.

Here's the advantage: You can claim any property you own and «ordinarily inhabit» as your principal residence.

Land Transfer Tax Credit (Ontario): For Ontario residents, you can claim up to $ 2,000 if you are purchasing a home as a principal residence as long as you and your spouse or common - law partner has never owned a home, or an interest in a home, anywhere in the world.

All Texas homeowners who use their property as their principal residence can claim the Texas homestead exemption.