Turnkey tax services
for non-resident property owners
selling in Canada

Selling real estate in Canada as a non-resident involves specific tax obligations. This guide outlines the essential rules: required forms, deadlines, federal and provincial obligations, as well as best practices to avoid excessive withholding and delayed funds. 1. Why is a certificate of compliance required? When a non-resident sells real estate located in Canada, the tax authorities require that amounts be withheld before the proceeds of sale leave the country in the absenc

Selling real estate in Canada as a non-resident involves several fees and tax obligations. Here is an overview of the main costs to consider. 1. Withholding Tax at Source Upon Sale This withholding tax is not a cost in itself, as a portion will often be recoverable at subsequent stages, but it is a cash-flow event to anticipate. The buyer is required to withhold 25% of the gross sale price, or 37.875% if the sale is completed in Quebec (or 50% to 62.875% if the property is d

When a non-resident sells real estate in Canada, a T2062 Form must be filed to obtain a Certificate of Compliance from the Canada Revenue Agency (CRA) within 10 days of the sale. As its name suggests, this certificate ensures the tax compliance of the transaction, while limiting the withholding tax to the actual capital gain, rather than the total sale price. But what happens if the certificate is not requested on time? Here are the possible consequences and the steps to tak