Where to declare the disposition of my foreign real estate

[frankyfix]

Dear members,

I do live Canada as a permanent resident. I do have an apartment in Argentina which I rented out for the last years. I sold the apartment end of 2019 and now I am trying to find out where to declare the disposition of my place.

In the last few years I filed T776 and T1135 to pay tax on my foreign income.

Three questions:
a) Is there a specific line in a form where I have to declare the disposition of my place? I saw in T1135 that I can declare the gain(loss) of the disposition of my foreign property, but is there more to do?

b) I made a loss throughout the sale, can I deduct the capital loss? If so, in which form?

c) The sale of the foreign real property did create expenses, eg legal fees, do I report them in T776? I read online that T776 is only for buying and holding the place, not for selling...

I am very thankful for your advise!


Thank you!

 

[steaky]

I hired an accountant for tax filing, so I don't really know how each numbers goes. Anyways, here it goes:

A) In Schedule 3 of the T1 form, item no. 4 - Real estate, depreciable property and other properties, you can declare the disposition of your place.
B) Somewhere in T1
C) In Schedule 3 of the T1 form, there is space for you to fill the adjusted cost base and other expenses

 

[frankyfix]

Hi there,

thank you for your feedback. I checked Schedule 3 and yes, everything makes sense here,thank you!

I am now able to type in what I have paid and for how much I sold it, I can also type in other expenses, such as legal fees etc.

I am using SimpleTax and and I can see that tying in all the numbers does not change the final amount of the tax return, the loss does not count towards a tax deduction. If I put in a gain (as a test) I have to pay tax on it. How can that be that gains are taxed but losses aren't?

So this is it? There is not other form where I have to report it?

Thank you very much in advance!

 

[mrakobes2000]

Dude, this is a pretty weird question because everyone knows where to register property. There are offices for this where you can file your tax return and rent your property there, and I advise you to do this as soon as possible so that you do not have problems with taxes or lawsuits. A couple of years ago I decided to start investing in this area because I realized that it is very profitable. I found money for real estate from private money lenders real estate and they helped me a lot in my business. Soon, I declared all my property as soon as possible, and this was the right decision, because my partners decided not to do this and not pay taxes and faced serious problems.