Personal Tax Tag

Many of Canadian taxpayers maintain a second home, a vacation property, or hold a U.S. real property interest for investment purposes. In 2020 and 2021, there is an upward trend of dispositions of U.S. real properties by Canadians. This article is focused primarily on the Individual Canadian taxpayers disposing of U.S. property interest, and not on owning the U.S. property. Further, due to the...

This article focuses on the limited emigration issues specific to shareholders of CCPCs related to their shares. Due to the complex nature of residency issues and tax implications, readers must exercise extreme caution while relying on limited resources on the internet. Every taxpayer has its unique circumstances and should consult a professional tax accountant specializing in tax residency...

Pandemic brought an extra spice to financial markets! The financial markets climbed to a record high and still climbing, due to too much money in the economy. Like many other stocks, cryptocurrencies saw an uptick in investments, mostly by novel investors. Extremely low interest rates and increased stimulus from the government contributed to the influx of many new Canadian traders!...

Tax season is in full swing! Millions of Canadians and Residents are looking to file their taxes. Traditionally, taxpayers with simple tax situations tend to visit drop-off locations of various tax service providers. With Covid-19, many individual income tax preparers are offering online/remote services. Along with tax preparers and tax professionals, fraudsters and cybercriminals are working...

2020 Tax season just started. Individual income tax and benefits returns are now open for e-filing. A checklist is compiled to help you preparing all the documents for your tax appointment. Please do not forget to ask your employer T2200 or T2200s in order to claim work from home expenses for 2020. CRA has issued T4As for different covid-19 related assistance payments. If you are running an...

Have you recently received a contract offer from a business that has asked you to incorporate yourself? By the way, this is very trendy in the IT and transportation industry! We receive a couple of requests every day for such incorporations. Most of the time, because the “employer” (yes, the word used by these people) requires them to incorporate! Incorporating a business in...

A lot of people have claimed CERB for the full 28 weeks period, totalling up to $14,000. Canada Revenue Agency (CRA) has issued letters to the taxpayers who they think might not have been eligible. The confusion came because the CRA did not mention the word “Net” while explaining the self-employment for CERB purposes. Self-employment income is always net when reporting on the...

The year 2020 is approaching an end! This is the time of the year when you should not forget important tax planning to best optimize your 2020 income taxes in Canada. We have compiled a brief list for the end of year tax planning for individuals in 2020. Income Tax Effects of COVID-19 Benefits Received in 2020 Many individuals have received support from the government during the pandemic. The...

Property flipping is an increasingly common practice to buy a property and then reselling it for a quick profit. Property flipping also includes assignment sales a.k.a. shadow flipping. Shadow flipping is the sale of a property before taking possession, mostly in cases of new constructions with builders. Property flipping is a key area of interest for the Canada Revenue Agency (CRA)...

Principal residence exemption allows a taxpayer to eliminate capital gains on the disposition (or deemed disposition)  of his/her principal residence in Canada. This post is meant for general information purposes. You can find below a summarised version of different tax rules applicable to you if you have sold your principal residence, converted your principal residence to income-generating...