Tax Implications of Selling Real Estate as a Non-Resident in Canada Watch Video
Allan Madan, CPA, CA
Are you a non resident of Canada that has sold real estate in Canada? Read More…
Disclaimer
The information provided on this page is intended to provide general information. The information does not take into account your personal situation and is not intended to be used without consultation from accounting and financial professionals. Allan Madan and Madan Chartered Accountant will not be held liable for any problems that arise from the usage of the information provided on this page.
ABOUT THE AUTHOR
ALLAN MADAN
CPA, CA
Allan Madan is a CPA, CA and the founder of Madan Chartered Accountant Professional Corporation. Allan provides valuable tax planning, accounting and income tax preparation services in the Greater Toronto Area.
Clearance Certificates – do they have to be filed by accountants with designations? Or any accountant.
What is the fees for obtaining this certificate?
Thank you.
Hi Jenny,
Clearance certificates can be filed by any accountant. They don’t have to be designated.
Our firm charges $900 to obtain this certificate.
– Allan and his team.
Hi,
I am a non resident Canadian, I bought a house 7 years ago in Canada whilst being a non resident I paid 450000 for the house and spent an additional 150000 on renovations and upgrades, the house is now worth 850000, if I apply for the clearance certificate as outline in your article would I pay 25% of the selling price verse purchase price . Or 25% of the difference between the purchase price plus the renovation cost I.e. 450k +150k =600k and the selling price of 850000 ( 25% of 250000)
Thanks and regards
Tony
Hi Tony, the buyer’s lawyer will hold-back 25% of the sales proceeds ($850,000 x 25% = $212,500). However, upon providing a Certificate of Compliance to the buyer’s lawyer, your funds will be released. You must attach a cheque to the Application for a Certificate of Compliance for 25% of the capital gain ($250,000 x 25% = $62,500).