The Bank of Canada raised interest rates this week. Before you make an extra mortgage payment, there’s something worth checking. On October 28, the Bank of Canada raised its policy rate by 0.25 percentage points to 2.5%. If you have a variable-rate mortgage or line of credit, borrowing may now cost you more. But here’s...Read More

Claiming depreciation on your rental saves tax today. When you sell, you might have to pay it back. If you own a rental, the CRA lets you claim depreciation on the building. It is a yearly tax deduction for the wear on the building, and in Canada it is called capital cost allowance, or CCA....Read More

Leaving profit in your company saves tax. It also lowers the income a mortgage lender can use. If you own a corporation, you probably leave part of each year’s profit inside it. That is often good tax planning. A small company pays a lower tax rate on its business income than you would pay personally....Read More

Every Ontario brokerage must now send RECO, the provincial real estate regulator, a yearly report on its money: what it owns, what it owes, what it earned, and what it holds in trust. Your broker of record signs it. The first one is due October 30, 2026. In this issue: What RECO asks for What...Read More

The best time to protect your real estate partnership is when everyone still believes ‘we’ll figure it out as we go. When Two Friends Decide to Buy Investment Property Together David is the co-founder of a growing tech startup in Toronto. Mike runs a successful general contracting business across the GTA. They’ve been friends for...Read More

Everything you wanted to know about structuring your house-flipping business in Ontario but were afraid to ask (because you thought it might be boring). Spoiler alert: it’s not. Q: I’m flipping 2-3 houses a year. My neighbor says I need to incorporate. My brother-in-law says that’s overkill. My accountant just shrugged. Who’s right?  A: Ah,...Read More

If you’re an incorporated realtor in Ontario, Alberta, or British Columbia, your PREC may be helping you save on taxes. But if you’re also using it to hold rental properties, deposits, or investment assets, you could be walking into a compliance and tax trap. The structure you choose today could affect your taxes, regulatory standing,...Read More

In a previous post, we shared a detailed checklist for real estate agents who have incorporated their business under a Professional Real Estate Corporation (PREC). In this article, we will delve into the expenses that real estate professionals can legally deduct. It’s important to know that these deductions are easy to understand and apply, and...Read More

Starting a business is full of questions, and one of the most important ones is whether or not to incorporate. It’s a decision many self-employed workers and entrepreneurs face, and with the right guidance, it can be the start of a successful journey. Incorporating your business can bring about numerous benefits that can help you...Read More

Now that you have a Personal Real Estate Corporation (PREC), it’s essential to understand that this is just the beginning of strategic tax planning. By considering all these factors, realtors can make informed decisions that will benefit their financial future. To truly maximize the benefits of incorporation and minimize your tax liability, it is crucial...Read More