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New Member
posted Oct 30, 2019 11:20:45 PM

Can I claim my property transfer tax in rental expenses?

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4 Replies
Level 15
Oct 30, 2019 11:20:47 PM

No, you cannot claim land/property transfer taxes as a rental expense. From the CRA:

You cannot deduct land transfer taxes you paid when you bought your property. Add these amounts to the cost of the property.

https://www.canada.ca/en/revenue-agency/services/tax/businesses/topics/rental-income/rental-expenses...

New Member
Oct 30, 2019 11:20:48 PM

Where do I claim that?

Level 15
Oct 30, 2019 11:20:49 PM

You can't claim this anywhere on your tax return. You will add it to the cost of your rental property and it will be used in the calculation of the "Adjusted Cost Base" (ACB) when you sell the property reducing your Capital Gains.

https://turbotax.intuit.ca/tips/calculating-adjusted-cost-base-6285

New Member
Jun 4, 2024 3:23:11 PM

Excellent information and confirmation and an additional thank you for the link to CRA details ! @TurboTaxKim you rock !!