Other Indirect Taxes - Fundamentals

Overview:

Canada’s persistent housing crisis, particularly high demand for, and low supply of residential rental properties, has caused all levels of government to step in. From the Underused Housing Tax to provincial and local home vacancy taxes, to prohibitions on short-term rental properties, CPA’s and their clients need to be aware of these various indirect tax and other government measures, when owning or investing in residential real estate.

This course will cover the fundamentals of Canada’s Underused Housing Tax (“UHT”) in connection with ownership of residential properties by both Canadians and non-Canadians.  We will cover This course will review who must file a UHT return, when and how to file the return and pay any applicable tax.  

The This course also covers the various different possible exemptions available to owners that must file the return, but who may not have to pay the 1% tax on the property’s value.  The proposed changes announced in November 2023’s Fall Economic Statement, have now been passed into law and have been incorporated into the course.

The latter portion of the course will explore on a high level, the various different provincial and regional/local vacancy taxes and other disincentives affecting residential properties in Canada.

Course Content:

In this course, you will gain knowledge about the following topics:

• Underused Housing Tax;
• British Columbia (“BC”) Speculation and Vacancy Tax;
• BC’s Short-Term Rental Accommodations Act; 
• Vancouver Empty Homes Tax;
• Ontario Non-resident Speculation Tax;
• Toronto Empty Homes Tax; and
• Other local or provincial short-term rental restrictions and prohibitions. 

Learning Objectives:

Upon completing this course, you should be able to:

• Describe how the UHT applies to Canadian and non-Canadian individuals, corporations, partnerships and trusts as well how the rules apply to non-Canadian ownership by individuals, corporations, partnerships and trusts
• Apply the UHT and other Canadian provincial and regional/local residential indirect housing taxes and compliance systems currently in place across Canada
• Advise clients that own or who wish to invest in residential property in Canada, whether they are foreign or domestic clients and/or investors.

Who Will Benefit: 

CPAs, real estate professionals and wealth/financial advisors that advise clients on Canadian real estate investing.