Associated Costs for Sellers


B1. Capital Gains Tax

If an investment property sold higher than bought price, 50% of the capital gains is taxable, it will be count as the seller’s income. Forms for CRA. Investors may not be allowed capital gains tax break, profits could be taxed as business income.

B1a. Non-residents of Canada Income Tax

Non-resident individual is subject to Canadian income tax on income from sources inside Canada. Procedures / Reference / Forms for CRA. Non-resident seller must notify the CRA within 10 days of the date of sale, or seller will be liable to a penalty of $25/ day for each day late, with a minimum of $100 and max of $2500.