Tax Brief: Condo Flipping
Toronto’s condo boom has provided lucrative returns to condo owners and investors. Condo flipping, including the use of assignment clauses, has resulted in outsized return on investments. As this practice became more prevalent, the Canada Revenue Agency (“CRA”) has similarly made auditing condo sales a more prevalent practice. Why is the CRA Scrutinizing Real Estate Flipping? General perception: in Canada, all non-principal use homes are taxed as capital gains: 50% of the cap
