If I sold my permanent residence in 2016 and I was separated at the time, do I report 50%, or just enter 1/2 the value of the purchase and sale of the home?

I purchased a home with my spouse in 2013. We separated in 2016 and sold our primary residence then. Do I now report 50% ownership or just enter 1/2 the value of the purchase and sale of the home?

1442

Level 15

Oct 30, 2019 9:21:07 AM

If you separated and sold the home in 2016, the disposition should have been reported on your 2016 tax return. You should consider making an adjustment to your 2016 return to report this. Although there are no tax consequences for the sale of your principal residence, CRA has some strict reporting rules and penalties could apply.

"Canada Revenue Agency (CRA) can, according to new ITA s. 152(4)(b.3), reassess a taxpayer outside of the normal reassessment period , if the taxpayer does not report a disposition. Normally for individuals the reassessment period is 3 years from the date of the initial notice of assessment, with some exceptions.

If the disposition of the principal residence is reported late, a late filing penalty can be imposed @ $100 per month x the number of months late, to a maximum of $8,000".

You only need to report your share (50%) as the disposition. Further instructions follow:

https://turbotax.community.intuit.ca/replies/3226476

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If I sold my permanent residence in 2016 and I was separated at the time, do I report 50%, or just enter 1/2 the value of the purchase and sale of the home?