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New Member
posted Oct 30, 2019 8:52:10 AM

What amount to claim on rental property expenses (insurance/interest/tax)?

If my rental property is purchased/closed on Jul 24, 2017, but the rental agreement does not start until Sept 1, 2017, what amount should I claim on the following expenses? The full amount or the % portion during which my rental agreement was effective?

1. Fire Insurance (policy is effective upon closing, paid as an annual premium)

2. Mortgage Interest Payment (payable monthly, first payment was in August).

3. Property Tax (single installment following ownership change)

0 1 632
1 Replies
Level 15
Oct 30, 2019 8:52:12 AM

CRA states if this is the first year of operation, enter the year, month, and the day you began your rental operation. You can claim the expenses for renting your property if it was available for rent at this time.

For your insurance and property tax paid as annual premiums, you will need to calculate the "monthly amount" and only claim the amounts for the applicable months.