If you’ve made money by flipping condos or selling assignments for presales projects you probably already know that’s income.
If not the Canada Revenue Agency would like to remind you:
“We do from time to time target some sectors more closely than others,” he said. “We look at the real estate market in general. Of course, [there is more focus], it’s a hot market.”
Thats Sam Papadopoulous, senior public affairs advisor-manager with CRA’s Ontario region quoted in this Financial Post article.
“If you keep [assigning property] then it is not capital gains, that’s trade and that’s income,” said Mr. Papadopoulous, adding you do it a “couple of times” and it’s income. “Of course, that’s part of [what they are investigating].”
“We live in the information technology age,” said Mr. Papadopoulous, who wouldn’t get into how CRA is tracking down the tax evaders. “We are putting our resources to work and following the trail where we can.”
Read the full article over at the Financial Post.