Go Back  British Expats > Living & Moving Abroad > Canada
Reload this Page >

what is the capital gain tax percentage?

what is the capital gain tax percentage?

Old Sep 28th 2009, 5:59 am
  #1  
Forum Regular
Thread Starter
 
Joined: Jul 2009
Location: Victoria, BC
Posts: 140
loety is just really niceloety is just really niceloety is just really niceloety is just really niceloety is just really niceloety is just really niceloety is just really niceloety is just really niceloety is just really nice
Default what is the capital gain tax percentage?

Hi,
We are on the early stage of immigrating as skilled worker.we are gathering the information after receiving the 120 days email.
We have a property in the uk and ideally we would like to rent it and then after few years of us being in Canada (if hopefully we do get PR)sale it.From what i read we would have to pay capital gain tax on the difference between valuation of the property at the time we became resident and the selling price of the property.
Does anybody know what is the capital gain tax percentage,i could not find the answer in the wiki.
Thank you
loety is offline  
Old Sep 28th 2009, 6:03 am
  #2  
 
Joined: Sep 2008
Posts: 12,830
Aviator has a reputation beyond reputeAviator has a reputation beyond reputeAviator has a reputation beyond reputeAviator has a reputation beyond reputeAviator has a reputation beyond reputeAviator has a reputation beyond reputeAviator has a reputation beyond reputeAviator has a reputation beyond reputeAviator has a reputation beyond reputeAviator has a reputation beyond reputeAviator has a reputation beyond repute
Default Re: what is the capital gain tax percentage?

Originally Posted by loety
Hi,
We are on the early stage of immigrating as skilled worker.we are gathering the information after receiving the 120 days email.
We have a property in the uk and ideally we would like to rent it and then after few years of us being in Canada (if hopefully we do get PR)sale it.From what i read we would have to pay capital gain tax on the difference between valuation of the property at the time we became resident and the selling price of the property.
Does anybody know what is the capital gain tax percentage,i could not find the answer in the wiki.
Thank you
Its all here.
http://www.cra-arc.gc.ca/E/pub/tg/t4037/t4037-e.html

The rate depends on your marginal tax rate.
Aviator is offline  
Old Sep 28th 2009, 6:34 am
  #3  
Binned by Muderators
 
Joined: Jul 2007
Location: White Rock BC
Posts: 11,687
JonboyE has a reputation beyond reputeJonboyE has a reputation beyond reputeJonboyE has a reputation beyond reputeJonboyE has a reputation beyond reputeJonboyE has a reputation beyond reputeJonboyE has a reputation beyond reputeJonboyE has a reputation beyond reputeJonboyE has a reputation beyond reputeJonboyE has a reputation beyond reputeJonboyE has a reputation beyond reputeJonboyE has a reputation beyond repute
Default Re: what is the capital gain tax percentage?

As The Aviator says above, there is no set rate, but half the gain is added to your income for the year you sell the house. There are multiple tax rates in Canada that increase as your income rises, and each province has different rates (and these can and do change) so it is impossible to give you an exact answer.

There are a couple of things you can do.

1 Make sure the house isn't in the sole name of the higher earner. If it is, put it in joint names, or even the name of the lowest earner before you come to Canada.

2 Get some valuations done just before you leave the UK. Keep the highest realistic valuation.

3 Plan your income when you are about to sell the house. If there is going to be a capital gain consider things like deferring bonuses, taking time off if available, and saving some RRSP contribution room.
JonboyE is offline  
Old Sep 28th 2009, 8:37 am
  #4  
Forum Regular
Thread Starter
 
Joined: Jul 2009
Location: Victoria, BC
Posts: 140
loety is just really niceloety is just really niceloety is just really niceloety is just really niceloety is just really niceloety is just really niceloety is just really niceloety is just really niceloety is just really nice
Default Re: what is the capital gain tax percentage?

Hi the Aviator & JonboyE,
Thank you for the link and the advice.
loety is offline  

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


Contact Us - Manage Preferences - Archive - Advertising - Cookie Policy - Privacy Statement - Terms of Service - Your Privacy Choices -

Copyright © 2024 MH Sub I, LLC dba Internet Brands. All rights reserved. Use of this site indicates your consent to the Terms of Use.