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    Lars Ruin's Avatar
    Lars Ruin Posts: 1, Reputation: 1
    New Member
    		  
    #1

    Apr 4, 2007, 12:25 PM
    Canada capital gain tax on real estate
    I want to sell my vacation property. It is not my principal residence. It has increased in value three-fold in 10 years and I want to minimize my capital gain tax. I am planning on buying another vacation home soon after. If I arrange with the buyer, if willing, to hold part of the title and become their lender, can I transfer title as they pay me and spread the capital gain over multiple taxation years? If this plan works, what are the pitfalls, assuming I am willing to take the risk of the buyer's credit. What other plans are there to defer this tax?
    AtlantaTaxExpert's Avatar
    AtlantaTaxExpert Posts: 21,836, Reputation: 846
    Senior Tax Expert
    		  
    #2

    Apr 13, 2007, 02:26 PM
    That will not work. Besides, the MAXIMUM capital gains rate is 15%, so why bother?
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