Home office expenses: What can I deduct?

Posted on: October 10th, 2013 by Real Estate Accountants No Comments
Home office

“I have heard from my real estate investor friends that I can deduct part of my home as home office expenses. What’s the real story behind this?” This is a common question from our clients. Generally speaking home office expenses are deductible if you can demonstrate that they directly relate to the rental operation. The […]

JVs and Capital Gains: Getting down to the nitty gritty

Posted on: September 11th, 2013 by Real Estate Accountants 3 Comments

Question: I am currently working on my first JV partnership and have a question regarding Capital Gains. In this instance my JV partner is making the down payment and will solely be on the title and mortgage. In your experience, what is typically done regarding Capital Gains? In the event we sell, my JV partner would […]

Q&A: How do I record the equity value in my real estate in my bookkeeping?

Posted on: June 26th, 2013 by Real Estate Accountants No Comments

Q: How do I record the equity value in my real estate in my bookkeeping? I paid $200,000 10 years ago and now the market value is double that amount but there is nothing in my books to indicate this value. I’d like my bookkeeping to reflect the true market value of my properties. A: […]

2013 Federal Budget – A focus on tax changes

Posted on: March 26th, 2013 by Real Estate Accountants 4 Comments

We’ve now seen some of the provinces come through with their budgets and as a general rule there are certainly financial concerns, dealt with by tax increases (direct or indirect) and spending cuts. With the federal budget (on the first day of the real March Madness games) we are faced with much of the same […]

Q&A: How do I minimize taxes when I pull out RRSP money to purchase real estate?

Posted on: December 12th, 2012 by Real Estate Accountants No Comments

Do you guys have any suggestions on how to pull out some RRSP funds and minimize the tax impact?  Looking to pull out some funds to buy real estate in the US… Answer: On the question of RRSP withdrawals, it’s not so much that you’re going to reduce any taxes, but whether or not there […]

Why and how should I register for an ITIN with the IRS?

Posted on: November 19th, 2012 by Real Estate Accountants No Comments

You need an Individual tax identification number (ITIN) to file a US tax return. Why is this important if you have rentals in the US? If you don’t file a US tax return, they withhold 30% of your GROSS rent. Not net, GROSS (i.e. total rents received). To get an ITIN, you need to complete […]

Should I register for GST/HST?

Posted on: November 14th, 2012 by Real Estate Accountants No Comments

The “should I register for GST/HST” question is a common one we get from our clients, which normally goes like this: I have received forms from CRA for GST/HST registration, I am not sure if I should register a GST/HST number for a parent corporation and a real estate holding company. There is no income […]

What Non-Residents Should Know about Selling Canadian Real Estate: Part 2

Posted on: October 16th, 2012 by Real Estate Accountants 5 Comments

In Part 1 of this article, we discussed non-residents who own Canadian real estate. In Part 2, we’re going to focus on when non-residents sell Canadian real estate. What are the additional tax issues when the non-resident disposes of a Canadian real estate rental property? Non-residents must apply for a clearance certificate from the Canadian […]

What Non-Residents Should Know About Holding Canadian Real Estate: Part 1

Posted on: September 19th, 2012 by Real Estate Accountants 2 Comments

In the last few months, we have received calls and emails from Saudi Arabia, Kenya and Australia, to name a few, from investors who hold Canadian real estate, and need help ensuring they stay onside with Canada Revenue Agency. This article, part 1, covers what non-residents (NR) need to know about holding Canadian real estate. […]

US extends amnesty program to “low risk” taxpayers

Posted on: June 28th, 2012 by Real Estate Accountants No Comments

Since the US has been getting tough with ex-patriates on tax filings, I’ve often been asked by our clients, contacts, people at parties what they should do about their US-citizen husband, friend, aunt, cousin’s tax filings once they know I’m a CPA. Understandably, the looming penalties and possibility of prosecution that could have been imposed […]