Disposition of Property : Tax tips

 

Deemed Disposition

Changing the use of a capital property from personal to business or vice versa gives rise to a deemed disposition for Canadian Income Tax purposes.

Disposition of Canadian property by non-resident

The disposition of Canadian property by a non-resident of Canada is usually subject to income taxation in Canada, and the purchaser is normally required to withhold funds and remit them to the Canada Revenue Agency, unless a certificate is provided under section 116 of the Canadian Income Tax Act.