Before we come to realtor’s tax issue, let me share with you one link where you purchase a super good real estate property deal (30-50% discount): to search the property, to order title check prior to bid to make sure it’s a worry-free deal! Click the link below-
https://taxsaleshub.ca/?ref=gangjianli
Below is the toipe about realtor’s tax issue
The question of tax implications has come up several times when it came to cash-back rebates from realtors. So, I called CRA today to specifically ask this and need to provide this update for clarity to all:
For the realtor:
Commission rebate is considered a deductible business expense (so long as it was used to earn business, and only applies to people at arm’s length – i.e. not family members)
对经纪来说, 属于业务开支。
For the clients:
对客户来说, 如果收入来自于商业/出租,那么业主需要报税。 如果是来自于自住物业产生, 就不需要报税。
If the property is income producing (commercial/rental), then the amount of rebate is subtracted from the cost of the property to create a new adjusted cost base. The onus effectively falls onto the property owner to report this in their taxes.
If the property is a principal residence, there are NO TAX IMPLICATIONS, i.e. the amount is not taxable and no T4A needs to be issue
爱家地产团队近期为您推荐:
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
有兴趣的联系iHome Realty Team 爱家地产团队
阿刚(Michael Li) 647-505-6168 微信:ihomemike
因为爱,我们在,Real Love, Hard Working!
有兴趣的联系iHome Realty Team 爱家地产团队
阿刚(Michael Li) 647-505-6168 微信:ihomemike
因为爱,我们在,Real Love, Hard Working!
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
Realtor Cash-back – Tax implications clarified 经纪返佣的税务问题