Did you buy or sell a home in 2018? You may have tax implications or credits based on your situation!
Sold a home in 2018?
In 2016 a regulation changed the way capital gains taxes worked on investments and investment properties. The idea was to get proper taxes from foreign investors/ house flippers. The rules are different when you sell your principal residence.
For Investment properties – you must declare capital gains when you sell a property or an investment for more than you paid. Fifty percent of the declared capital gains goes toward your taxable income.
Bought a home in 2018 as a first time buyer?
You may be eligible for the First time home Buyer Credit (FTHBC). Speak to your tax professional or click here for further information: First time home buyer Credit
Important Tax Dates
February 26th, 2019 – CRA begins accepting returns
April 30th, 2019 – Tax Day – Last day to file (without penalties or fees)
June 15th – File deadline for some self-employed taxpayers
Note that the CRA doesn’t offer file date extensions – except in special cases. Taxpayers are encouraged to file on time to avoid penalties and fees.
Should you hire a Tax Pro?
If any of these situations below are true for you, consider working with an expert this tax season:
- Complicated tax situations – people with rental properties, business owners, if you’re claiming several deductions, or recently divorced.
- Experienced a life change – ie. purchased a home, got married, had a child, or any other financial change.
- Live & Work in different provinces – to ensure you pay the correct amount to each province.
- You want to save more money – tax experts know the laws inside and out and use them to your advantage to help you owe less or get a bigger refund.
- You want to reduce mistakes – CRA has four years after your file date to conduct an audit. Returns stand out when there is a mistake.
- If you have foreign investments or bank accounts – all income that goes into these accounts must be reported, ,even if you didn’t withdraw any money in 2018.
Call me if you need a great tax professional referral in my network!
CONNECT WITH FRANCES:
DON’T FORGET TO SUBSCRIBE HERE on YOUTUBE