Introduction – Responding To Canada’s Underused Housing Tax
— John Richardson – lawyer for "U.S. persons" abroad (@ExpatriationLaw) February 19, 2023
Canada’s Underused Housing Tax is NOT a tax imposed because the “foreign owner” doesn’t spend enough time in the property. Rather Canada’s Underused Housing Tax is a tax imposed because the “foreign owner” doesn’t make the property sufficiently available to non-owners!!
This is the fourth in my series of posts about Canada’s “citizenship-based” Underused Housing Tax.
The first three posts are:
The purpose of this post is two-fold:
First: to explain what “Canada’s Underused Housing Tax” really means for “foreign owners” of certain Canadian property:
Conclusion: It means that foreign owners who own property that is NOT in a designated recreational location and who do NOT release their property into the rental market will be forced to pay the 1% tax.
Second: to explain that owners of most Canadian residential property that is not in a designated recreational location, who are neither Canadian citizens nor permanent residents of Canada can avoid releasing their property into the rental market ONLY if they either: