tag:blogger.com,1999:blog-4402283548766807872.post595210735268144178..comments2024-03-14T19:35:14.456-04:00Comments on The Blunt Bean Counter: Rental Properties - Everything You Always Wanted to Know, but Were Afraid to AskThe Blunt Bean Counterhttp://www.blogger.com/profile/11358868550072516313noreply@blogger.comBlogger12125tag:blogger.com,1999:blog-4402283548766807872.post-55657103039541844352019-01-14T19:47:22.590-05:002019-01-14T19:47:22.590-05:00Hi Unknown:
A day trading business would likely b...Hi Unknown:<br /><br />A day trading business would likely be considered regular business income, not a SIB. This is a complex area, speak to an accountant to review your situation specifically.The Blunt Bean Counterhttps://www.blogger.com/profile/11358868550072516313noreply@blogger.comtag:blogger.com,1999:blog-4402283548766807872.post-86355085031467818102019-01-10T11:49:06.241-05:002019-01-10T11:49:06.241-05:00Hi BBC,
Love your blog. Would day trading currenc...Hi BBC,<br />Love your blog. Would day trading currencies be considered a specified investment business? Positions are frequent and held for hours.<br />Thanks!<br />RichardAnonymoushttps://www.blogger.com/profile/18191075268713093794noreply@blogger.comtag:blogger.com,1999:blog-4402283548766807872.post-66461061774403581072017-01-17T21:38:00.542-05:002017-01-17T21:38:00.542-05:00Hi Anon:
You have a couple issues, did you make a...Hi Anon:<br /><br />You have a couple issues, did you make a 45(2) election when you rented your house? You also need to report the rental income. I would engage an accountant to assist you with sorting out what you should do.The Blunt Bean Counterhttps://www.blogger.com/profile/11358868550072516313noreply@blogger.comtag:blogger.com,1999:blog-4402283548766807872.post-91891347017727557782017-01-17T11:25:19.062-05:002017-01-17T11:25:19.062-05:00I have leased my principal residence out in July 2...I have leased my principal residence out in July 2015 on a rent to own bases. tenants had 1 year to decide, and all lease income would go towards the purchase price. therefore i did not claim the income on my 2016 tax return as it might have gone towards the purchase price. In July 2016 they decided not to buy, How will the CRA look at this situation? Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-4402283548766807872.post-17241026328792872102016-03-16T22:31:32.105-04:002016-03-16T22:31:32.105-04:00Hi Steve
I am not sure off the top of my head and...Hi Steve<br /><br />I am not sure off the top of my head and dont have the time right now to look it up. SorryThe Blunt Bean Counterhttps://www.blogger.com/profile/11358868550072516313noreply@blogger.comtag:blogger.com,1999:blog-4402283548766807872.post-62936326214359149682016-03-16T11:58:25.138-04:002016-03-16T11:58:25.138-04:00Hi Mark - I owned a vacation condo for several yea...Hi Mark - I owned a vacation condo for several years that I sold in 2015 for a $10,000 loss. I used the condo 75% to earn rental income and 25% personal use. I understand that I can claim a terminal loss on form T776 for the rental portion. Do I have to report the full amount of the sale on Schedule 3 - even though I have a capital loss. Or do I just report the sale of the personal portion on Schedule 3 under personal property. Thank you! <br />SteveAnonymousnoreply@blogger.comtag:blogger.com,1999:blog-4402283548766807872.post-90872526201666112522014-10-20T09:14:27.416-04:002014-10-20T09:14:27.416-04:00Hi Anon
It depends, no correct answer. Do you lik...Hi Anon<br /><br />It depends, no correct answer. Do you like being debt free? Some people sleep better. What can you do with the money you will pay down the mtge with and what return could you get?<br /><br />Part 2- again depends? Did you make a 45(2) election, you may also be able to use the plus 1 in the PRE formula to reduce the amount that is taxable.The Blunt Bean Counterhttps://www.blogger.com/profile/11358868550072516313noreply@blogger.comtag:blogger.com,1999:blog-4402283548766807872.post-51450366943107050752014-10-19T19:56:24.971-04:002014-10-19T19:56:24.971-04:00interested to know if it is of any benefit that i ...interested to know if it is of any benefit that i pay down my rental property mortgage faster. <br />At present I make minimum mortgage payments and claim interest expense against my rental income. Is there a benefit to me paying this mortgage down faster?<br />Also; a second rental I have which was my principal residence for seven years and coming up on three years renting; when I sell.. am i correct to assume I only pay capital gains on 30% as 70% would be considered my principal residence for the 7 of 10 years?Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-4402283548766807872.post-50968789614512215932014-07-18T22:49:10.423-04:002014-07-18T22:49:10.423-04:00Hi Supatra
I dont provide personal tax planning a...Hi Supatra<br /><br />I dont provide personal tax planning advice on this blog, but I will tell you that if the properties are left to your son, then they will be deemed sold for tax on your death and your estate will have to pay tax on unrealized gains and maybe recaptured depreciation.<br /><br />You may want to engage an accountant to see if they can minimize this issue.The Blunt Bean Counterhttps://www.blogger.com/profile/11358868550072516313noreply@blogger.comtag:blogger.com,1999:blog-4402283548766807872.post-30047144681688293172014-07-18T20:45:43.158-04:002014-07-18T20:45:43.158-04:00Hi Mark
I own rental properties and I have no spo...Hi Mark<br /><br />I own rental properties and I have no spouse. When I die, Do my son have to pay capital gain tax right away ? the properties are under my name alone and in my will everything will go to my son. what would be the best way to transfer these properties to my son ? or what would be the best way to minimize the tax when I die ? both properties still have mortgage on them. <br />thank you<br />SupatraAnonymousnoreply@blogger.comtag:blogger.com,1999:blog-4402283548766807872.post-74903468424285100162014-05-26T18:38:55.210-04:002014-05-26T18:38:55.210-04:00Hi Anon
I have a future post on claiming CCA, how...Hi Anon<br /><br />I have a future post on claiming CCA, however, I am not sure if will be posted before the end of June or in September.<br /><br />See my post today or whether to incorporate. <br /><br />Many of my clients incorporate each rental property separately in its own company solely for creditor proofing, although some have a couple in the same company. You are correct, if you could not be sued, everyone would purchase their properties personally, however, people are concerned one lawsuit will put all their personal assets and (10)rental properties at risk, and that is why they incorporate. If you are not concerned about being sued, then you could buy the properties personally and possibly claim CCA, that is a personal decision and you must weigh the risk.The Blunt Bean Counterhttps://www.blogger.com/profile/11358868550072516313noreply@blogger.comtag:blogger.com,1999:blog-4402283548766807872.post-59090157392852579882014-05-25T18:28:46.692-04:002014-05-25T18:28:46.692-04:00Hi there,
I've combed your previous posts but...Hi there,<br /><br />I've combed your previous posts but can't find a satisfactory answer to my specific question...<br /><br />My wife and I have two rental properties, and are considering ramping up to ten properties in total.<br /><br />We have a numbered company, but still can't grasp the benefit/drawback to purchasing and renting through a corporation.<br /><br />We're both in the top tax bracket and need write-offs. In my mind, this means we should purchase personally.<br /><br />Also, we're not taking CCA on either house presently. Should we?<br /><br />Thanks.Anonymousnoreply@blogger.com