Taxes and real estate: what to declare?
For a property owner, whether it's a primary or secondary residence or an income property, tax time can be a challenge. What should you declare?
In fact, you have the obligation to declare all of your income, whether taxable or not. You will find below a simplified checklist on what you must declare in real estate for your taxes.
Important dates to remember for your 2024 taxes
April 30, 2025: deadline for filing your taxes.
April 30, 2025: deadline to pay your taxes.
June 15, 2025: deadline for filing your taxes if you or your spouse or common-law partner are self-employed.
For an income property as an individual
You must declare any type of property for which you receive income (e.g. rent). To do this, complete Form T776, Statement of Real Estate Rentals to report your rental income and expenses even if there is a loss. You can deduct certain expenses such as maintenance or repairs.
Also, if you own one or more dwellings for which rent was paid during the tax year, you must produce the RL-31 slip. You have the responsibility to send a copy of the RL-31 slip to Revenu Québec and to each of your tenants no later than February 28.
For property abroad
If, for the given tax year, you own assets abroad whose value is more than CAD 100,000, you must file an annual declaration with the Canada Revenue Agency (CRA). The document to be completed is form T1135. This is a verification statement of your foreign income.
How to declare the sale of a main residence?
The sale of your property must be included in your tax return. If this is your principal residence, you must designate it as such and may be exempt from tax.
At the federal level, you must complete Schedule 3 of the T1 Income Tax and Benefit Return and Form T2091.
For Revenu Québec, the document to complete is form TP-274 Designation of a property as a principal residence.
Tax credits for new homeowners
If you bought a property in 2024 and it is the first home for you or your spouse, you can benefit from a tax credit at the provincial and federal levels for the purchase of a first home. Visit the Revenu Québec and Canada Revenue Agency (CRA) websites for more details.
This article is an overview of what you must declare as a property owner. Each situation can have its own tax particularities. In order to answer your questions and better understand what to declare and which forms to fill out, call on a professional for the tax declaration. Make sure to provide them with all the necessary information so that they can properly meet your needs.
