Відео

Hey, I think I know what your question is... so you don't have your NR6 approved yet so if you don't get your approval before Feb 15, 2025 you will have to remit $600 to the CRA for your withholding tax for January. If you do get the approval and you are losing money because your after approval amount is negative then you need to call the CRA to speak to them to ensure that you won't have to pay any taxes for the rest of the year as your amount is negative. If you pay the $600 before Feb 15 and you get the approval afterwards. You can call the CRA to get the money refunded back to you. I hope this makes sense.

@ Thank you! This is super helpful.

@@Yukizhong You're welcome!

You're welcome appreciate the comment. On the NR6 Form you will need to file for each owner and split the income and expenses between the owners.

You can submit it anytime you want. Let's assume your year end is Dec 31st. It does take some time to get the approval for your NR6, about a month or so. In the meantime, you need to make sure you pay 25% of the Gross Rental Income for your withholding taxes until you get approved. Upon approval you can call the CRA and allocate the payment you paid prior to the NR6 approval so you don't have to pay as much withholding taxes for the rest of the year. This happened to me before. The 25% of the Gross Rental Income I paid covered the NR6 approved withholding tax amount (25% of the Net Income) for the entire year so I didn't have to pay for the rest of the year. I hope this make sense.

Lol... welcome to Toronto real estate.

You're welcome! Happy New Year!

In my example I showed the builder clawed back the $24K rebate from the buyer so we are claiming it back from the CRA. If you are renting the property, bought it as an assignment or the property is not your principal residence then the builder could claw the rebate back from you on closing and you will have to claim to get the rebate back from the CRA. However, you can only get it back if you are using the property as a rental for at least 1 year or you are living in the property as your principal residence.

Thanks for watching and I'm glad you found it helpful. I do plan on making a S216 video in the New Year so stay tuned. You'll also have to file your NR4 before you do this and I'll be making a video on this as well.

​@@realestategame The video on S216 and NR4 would be so helpful!! Looking forward to the videos. Thank you!!!!!!

@@one_plate I was going to make the NR4 video last week but the website is down until Jan 13th! I don't know where they are spending all our tax payer money. I'll hopefully get the NR4 video out by mid Jan. We still have time as the deadline is end of March.

Thanks for the comment. I'll be making a S216 video in the new year so stay tuned.

I would double check with your accountant as I'm not an expert on this topic and don't completely understand your tax situation. However, speaking from personal experience your capital gains will be added to your income for 2024 and be taxed according to your tax bracket. You should be able to write off all your rental property expenses like mortgage interest, property taxes, insurance and maintenance costs. If your rental income was zero that just means you only had expenses so that should reduce your total taxable income for the year so it will be the same thing as writing it off your income or your capital gains.

Thanks for the response Tim

I would try to get away with whatever is lower. I'm assuming that the original purchase price is lower?If the CRA disagrees they will let you know about this and send you a letter to make up the difference.

You’re welcome I’m glad you found it helpful.

You're welcome I'm glad to hear you found the video helpful. 1. Yes you need will need an agent if you want to file an NR6 to reduce your withholding tax. You should follow the instructions on my video here to do this - ua-cam.com/video/BHFxhPgaaiI/v-deo.html this will also answer your other questions. 2. The CRA will mail you a letter to your agent. 3. The NR6 is processed in January so it takes like a month or so from then. The Non Resident Tax is pretty quick. You can see on my video how long it took me to get approved.

Yes the link to get the spreadsheet is in the description of this video.

You’re welcome glad to be of assistance!

This is a great question. I asked this question to the CRA agent and they said you need to submit two separate NR6's. One for your wife and one for you. You can split it 50/50 if you wish. You must do 50/50 for the income but for the expenses it doesn't have to be 50/50. Once you get the NR6 approval your agent just has to submit one payment instead of two. According to the agent I spoke to at the CRA for the CCA you will have to claim it now according to the CCA guidelines - www.canada.ca/en/revenue-agency/services/forms-publications/publications/t4036/rental-income.html#P632_58016 I will be creating another video for the NR4 and S216 in a video to follow as I will have to do this in the New Year. By the way if you have an accountant you should run this by them. I personally have an accountant that does all my tax filings for me.

​@@realestategameHi Tim, Thank you for the video, it was very helpful. In your next video about the NR4, could you please include information about the NR4 summary and whether we need to submit it? I'll be waiting for the NR4 video with great anticipation. Keep up the great work! Thanks,

You’re welcome thanks for the encouragement. I’ll be doing the NR4 video in early in new year.

@@realestategame Hi Tim, Could you please elaborate on the "50/50 for income but for expenses it doesnt have to be"? Wouldn't two NR6 naturally mean that in Section 2 we put for both NR6's the gross rent, expenses and net income all divided by 2? Also, do we submit two excel sheets or one expenses sheet? I found this on section 2 of Page 2: "• Each non-resident member of a partnership filing an undertaking should report only his or her share of the gross rents, total expenses, and net income. " I guess Husband/Wife are considered partnership

According to the CRA agent you have to allocated 50/50 for the income. However, you can allocate the expenses to your wife or to yourself however you see fit. This is usually discussed with an accountant to optimize your taxes. Let's just assume that you do 50/50 expenses to make the next part of answering your questions easy. Yes for section 2 you'd divide both by 2 so you're report only half of the income and expenses. As for the excel worksheet. I'm assuming you'll have to submit half for yours and half for your wife as it should correspond to your NR6 form. The instructions you've provided also backs this up. I'm not 100% sure, you can always confirm this with the CRA by calling them at the number I provided in the description.

Glad it was helpful!

My pleasure!

Yes they don't notify you. You can call the CRA to see if it's on their system. It's been taking about 3 months or so to get the rebate. You will receive a notice once they have processed the application.

Thank you, appreciate the prompt response.

Yes you are correct you can file them online. I just released a new video that shows you how to do this. ua-cam.com/video/Me3xQ7L8lhM/v-deo.htmlsi=qDA3Knq46yAzb6K4

You're welcome, I'm glad you found it helpful.

Yes that is correct. Once you have your NR Number you can submit this form online. I'm actually in the process of releasing an updated video just explaining the NR6 video so it should hopefully be up this week or next week.

@ So it doesn’t matter if the landlord submit NR6 form in her own CRA account or the agent submit in the agent’s CRA account?

@@Chenbonbon Yes that is correct. Either the Non-Resident Property Owner or the Agent of the Non-Resident can submit it on the MyCRA account. Personally I've ONLY done it as an agent on behalf of the Non-Resident but I recall having a conversation about this with the CRA agent and he said either of us can submit the NR6. If you want to double check you can call the CRA Non Resident department directly at 1-855-284-5946. You will get correspondence through mail once they receive your NR6 request. It won't be processed until the New Year.

@@realestategame Thank you so much! Another question about the section 4 agent section, the agent just needs to fill in the NRV account, or does he need the CRA identifier number (SIN etc.) as well? I see from the video that you skipped that box but the form was still able to get approved.

@@Chenbonbon Yes I was able to get it done without putting in the SIN number but if you want you can put this in so the CRA can verify that it is the correct account. They can still find you from the NRV account but if you want you can fill in the SIN as well. I'll be releasing a NR6 video on Saturday so you can see what I do there if you want. On that video I put in the SIN number.

In your situation I will assume that you have a principal residence that you already live in personally. You technically can only file for your HST rebate if you are using the property as your principal residence or rental for 1 year. Therefore, to make it cleaner and easier I would just do a lease with your in-laws and follow this video to claim your HST rebate. ua-cam.com/video/CZc1nq24f1Q/v-deo.html

Thank you for watching. I’m glad it helped.

Thanks for watching. I’m glad it’s helpful.

This unfortunately is an ongoing problem with the CRA website. Try using a different computer or a different IP address and hopefully you're able to submit. I think it's just the incompetence of the CRA.

@@realestategame I tried again with a different account and it worked. Thanks again!

@@Yukizhong That's great I hope CRA fixes whatever issues they are having as I get this all the time.

My pleasure! Thank you.

Glad it was helpful! Thank you for watching.

Personally I've been uploading the entire agreement however, I believe there are some of my clients who have just uploaded the 1st page and that worked too. Worst case scenario CRA will ask you for the full agreement.

@ thx Tim for Quick reply

You're welcome. Glad it was helpful!

Yes one person can claim for all parties. You don't need to do it individually.

When did you first get your keys? That will most likely be the date of your occupancy. You will also see this in your interim statement of adjustments if your condo did have an occupancy period. If you closed on the property with no occupancy period it will be your final closing date.

If you bought the property for a principal residence that you're going to be living in. Then you shouldn't have to have your HST clawed back from the building. However, some builders will claw this back even if you are an owner occupier depending on how your contract was written and the circumstances of your deal. In this case, you will have to claim the HST rebate back as an owner occupier. Follow this video here - ua-cam.com/video/F_6UcT6YPu8/v-deo.html

You're welcome I'm glad I could help.

I personally haven't sent anything in through DocuSign but I just asked the CRA agent and she said that electronic signatures are acceptable. You can verify by calling them directly yourself as well but I literally just got off the phone with the agent.

Thank you! Great questions: 1) No, the CRA requires a withholding agent to remit the 25% withholding tax, not the non-resident themselves. It believe this is to ensure that the taxes get paid and to have someone local liable for the taxes. 2) Yes, once your NR6 is approved, you can retroactively apply the reduced tax rate (based on net rental income) and claim expenses from earlier in the year when you were still paying the full 25%. If you've overpaid you can apply that payment for the period so you're over paying for the remainder of the year. You can do this with a simple phone call into CRA to advise them to do this. I paid 25% of net on a property and it was more than 1 years worth after the NR6 approved. So I didn't have to pay for the remainder of the year. 3) Without filing an NR6, you’ll pay 25% on gross income, but you can still claim all eligible expenses at the end of the year when filing your Section 216 tax return. Hope this helps!

Thanks!

Just a question, do you need to file the 216 every single year?

Sorry I meant the NR6 form* do you need to file that for every single year?

You're welcome!

Yes you do have to file this every year. Sorry I will be making a video for an NR4 as well next month. You also need to do this every year.

@@realestategame Is the NR4 only when you have to withhold taxes? If there is a net loss, then do you still need to do NR4?