Immigrated recently, back to home country to sell house and wire transfer - problem with tax, etc.?

[testinz]

Hi all,

My parents immigrated to Canada 2 years ago. Now they came back to their country to sell house and the plan is to wire the money over from the bank in the country to the bank in Canada.

The problem is that at the time of original immigration entry they pretty much didn't bring anything over so they likely completed the immigration form as not really bringing much into Canada.

Will there be any problem wiring the money from the house sale into Canada related to tax etc. from the Canada side? They making the final move over now so they likely will bring all their financial net worth to Canada.

Any help would be really appreciated as this really puzzled us. They don't have much money to begin with to settle here so it really bothers them.

Thanks!

 

[steaky]

Just find a competent accountant to file the Canadian tax return T1 to report the sales...

 

[BC4life]

You will not be taxed on the sale per se but you are likely subject to capital gain tax, which would be charged on the difference between the amount the house was worth at the time you became tax resident in Canada (I would assume when you landed, but this could be different), and the amount you sold the house. So for instance if the house was worth $500,000 when you became resident two years ago and now worth $550,000, you are subject to a capital gain tax on the $50,000 difference.